Advantage to Seller Financing
*
Present Condition - As an investor you have purchased a single family house at an excellent price, and now you are in the process of selling to a new buyer.
In today's market the lenders rules are very restrictive, keeping potential buyers from purchasing a home.
You have a buyer that is willing to give you your price, has a small down payment, and you feel very comfortable working with the buyer.
Possible Resolution – Seller Finance: You create Mortgage Note that works best for both of you.
Example:
The sales price was $165,000 - $10,000 down payment
Principle $155,000.00 Interest 7.5% Term 30 year Payment $1,084.00
Benefit to Buyer – Buyer purchases a home with a smaller amount of down payment.
Not having to go to a lender with all of the restrictive rules the lenders have.
Also allows the buyer to spend more money on their new home.
Benefits to You – You have a buyer that will provide you with several opportunities to make your investment successful.
You have created a Mortgage Note that has a face value of $155,000.00
You can do many things with this note, you can use it for a down payment on another piece of property.
You can use it an option, you can exchange for anything of value, or pieces of anything of value that add up, balancing the equities.
You can sell the note for cash now, you can sell part of the note giving you cash or something of value for the payments you sell
Questions, comments or suggestions on any of these articles, Send us an
or call Wayne H. Wagie 786-326-4747
The Wonderful World of Real Estate
Author
Wayne H. Wagie
Speaking engagements available
Personal or group Coaching
786-326-4747
wagie@wagiesworld.com www.wagiesworld.com
Wayne H. Wagie - President
The Wonderful World of Real Estate
Author
The Wonderful World of Real Estate
Ask Me
Wagies World
News letters
Wayne's World
Work Shop
Ask Me
WHAT IS THE TIME VALUE OF MONEY
A Large Sum of Money is Worth More NOW than
Money Collected in the Future
Factoring
Any Income Stream
Insurance Settlements
Privately Held Notes
Business Notes
Contracts