Hi folks. So I met with a seller a few weeks ago that had just purchased a Winter Garden Fl townhome for $249,000 late last year. She bought with an equity line on another property she owns.
Her property is currently worth $265,000 but she is adamant she won't sell unless she can NET $265,000. Well, we know that won't work! What you want has no baring on market value.
BUT.....with a little creative thinking I was able to present to her a plan that would far and exceed her desired NET.
Good ole' seller financing!!
This stops the outgoing expenses and turns it into cash flow. Plus she will get $306,658.05 in her pocket over the 5 year period.
It would look like this:
It would look like this:
Purchase price $265,000
20% down payment ( 53,000)
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Seller Financed $212,000
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$212,000 @ 6% over 30 years with a 5 year baloon payment
59 payments at $1,271.05= $ 74,991.95
1 Balloon payment $198,546.10
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Total payments over 5 years $273,538.05
***Downpayment-C Costs 32,565.00
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Total to Seller over 5 years $306,103.05
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****Closing costs at $265,000
Down payment $53,000
6% commission ( 15,900)
Doc Stamps ( 1,855)
Title Insurance ( 1,840)
HOA Estoppel ( 400)
Muni Lien Search ( 190)
Misc ( 250)
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**Cash to seller at close $32,565
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**This figure does not include payoff of any liens, mortgages, property taxes or HHOA dues that may be owed.
Think we can sell her on this? It's a great solution for her.
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