The concept of owner financing is not new, but in today's tough market, being willing and able to finance the sale of your home can give the seller a definite edge. When you eliminate the hurdle of qualifying for a loan, you will double the amount of buyers interested in purchasing your home. Check out www.notequeen.com. Seller financing can help buyers who may be having trouble getting a loan, due to self employment or because they work on commission for instance, or it can help those with damaged credit if it can be explained. In return for financing the mortgage sellers receive a steady income stream from the mortgage payments and at a time when other investments are risky at best, the interest on the mortgages could provide sellers with a welcome return perhaps 7% or more. Sellers can defer capital gains and create retirement income. Those who own a home free and clear or have a lot of equity built up are ideal candidates and may find this strategy particularly attractive. To protect themselves sellers should ask for a sizeable down payment from a buyer, 10% is the best option to make sure the buyer has a stake in the outcome and is vested in making the deal work. Sellers need to work with a real estate attorney to craft the terms of the deal with details including what constitutes a late payment and default or what happens if the buyer neglects to adequately insure the property. TJ Harrington thomas.harrington@brockandscott.com is your man locally 803-237-6422 cell, simply the finest most proactive real estate attorney in our market. Sellers can hire a loan service to collect as well, www.sellerloans.com and www.virginmoney.com are excellent resources as well. Sellers please call or email anytime to make this happen for you if you are ready.
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