hi.
seller and I have alreadycome to terms verbally. I need to write the sales contract.
Here is how the financing is structured.
purchase price 35k.
$800 check, earnest money
29,200 at closing,( 1s mortgage loan from bank)
and then the seller will accept an unsecured note for 5,000.
The promissory note spells out all the terms etc. For the contract, can I just put,
“5,000 in the form of a promissory note executed at closing”?
I hope I have made my question clear.
Untill today I thought the owner would be taking back a second, which I have done before.
Today he agreed to an unsecured note. (that’s fine with the bank) which I have never had as part of a purchase before.
I need this ready in the AM and am suddenly unsure of correct way to refer to this arrangement in the contract.
TIA for any help
For the contract, can I just put, "5,000 in the form of a promissory note executed at closing"?
That certainly sounds acceptable to me.
Mike
I agree… I don’t think you need to spell out all the terms of the promisory note in your contract. unless they are very unique and/or you have reasons to believe the seller may want to back out of the deal and use the promisory note as a way to do it… Good luck!