Owner finance

General Real Estate Investing
1

I live in Texas. What documents do I need in order to owner finance a building? What is the best way to do this? ::)I want to sell the building, which I own outright. The buyer will pay me for ten years.

Thanks,

Carolyn

:-* :-* :-* :stuck_out_tongue:

2

Someone else can correct me if I’m wrong, and I do pray that I am, but as I understand it Lease Options and most other forms of seller financing are now illegal in the state of texas.

3

Not if you own the property free-and-clear.

You need a contract, a note, and a mortgage.

Keith

4

Should I use a contract for deed?

Thanks!

carolyn

5

Did you know that it is possible to sell that note once it has been created? You may sell all or a part of the note.

6

I don’t live in Texas and this doesn’t apply to me, but I am curious about the laws there. I know the laws about contracts for deed and lease options, but can you sell a property with an existing mortgage using a wrap?

7

BoboTheKing -

I believe tedjr answered this very question in another thread. The answer was “Yes” (he said a lawyer in Austin is known exclusively for doing wraps).

8

Thanks for the info.

9

If you’re working with an agent, the Texas Association of REALTORS® has an addendum for seller financing. You can have a lawyer use this as a starting point or have them draw up an agreement.

There are MANY investors looking for owner-financed properties, so I think you can sell your place quickly as long as it’s a decent deal.