Iv talked to a few sellers that are open to carrying the contract and seem motivated. The bump is the amount they want for a down pmt. Iv got two sellers who own several properties and are ready to retire, but say that the are concerned with having to foreclose or take back the property. So they want cash up front as a security. They don’t NEED the $ per say, i dont have the 30 and 40,000 they want down, and im looking for other ways to give them the security to make a win/win
The properties they have are rented already, What are some of the ways you guys have got pass this hurdle?
A seller will feel more secure if there is a middle-man between him and the buyer. An escrow company should collect the payment and then pay the seller each month. Seller will get a statement for taxes at the end of the year. Also the taxes and insurance are paid through the escrow so the seller is assured that it is being paid. Buyer pays the monthly fee to have the escrow company do the work. Even if there is a small downpayment the seller may feel much better about the deal.
You may also inquire if the escrow/trustee could foreclose if the buyer doesn’t pay. It needs to be made problem and headache-free for the seller if they are going to carry paper. Solve their security worries for them. Have the seller talk to the escrow company about their services.
Good Luck, Furnishedowner
I share the same concerns as the sellers you are talking to. I have a property I want to sell and I am offering seller financing. I don’t want the property back a year from now, and I hope to avoid the expense of a foreclosure.
I won’t put a buyer through a rigorous bank qualifying nor will I demand a high credit score. I mitigate some of my lending risk with a significant downpayment. l require a 10% minimum down payment