Multiple Quote Requests

Should you obtain multiple investor quotes when selling a note? There are two differing camps of opinion based of course on one’s perspective. Read more

Firm Offer or Soft Quote?

Wonder whether you are receiving reliable pricing when submitting a qoute request worksheet to a note investor? Here’s how to know if it’s a firm offer or just a soft quote when going to sell a note. Read more

Why Buy Title Insurance?

Does the seller really own the property?  Are there any liens?  Is there legal access?  Does anyone else have a claim or right to use? Does the buyer have outstanding judgments that might attach when they purchase the property?  These are just a few of the questions you will want answered with a title report when considering owner financing. Read more

Real Deal #149 – Seller Financing, Second Liens, and the 80-10-10.

Welcome to Real Deals!  It’s always easier to learn from real life so here we share information from actual owner financed transactions.

When the bank loan and the buyer’s down payment don’t add up to the sales price, a seller might consider owner financing the difference.  Here’s how a classic 80-10-10 worked with owner financing on a four unit residential property in Baltimore, MD. Read more

What is a Real Estate Contract?

Sellers providing owner financing might elect to use a Real Estate Contract, Contract for Deed, or Land Contract to document the transaction rather than a Note and Mortgage or Note and Deed of Trust.  There are both advantages and disadvantages to carefully consider when choosing a Contract.

The big difference with a Real Estate Contract is that the buyer will not receive the Deed to the property until the full amount the seller financed is paid in full. The seller remains the title holder while the buyer is making payments.  A contract is like a layaway program for the Deed. Read more

Understanding Note Endorsements

Does the seller have to worry whether an investor can demand payment once they sell their owner-financed note? The answer depends on how the note was endorsed along with the terms of the Purchase Agreement. Read more

Structuring Notes for Top Dollar Pricing

 

The terms of owner financing dramatically impact the price an investor is willing to pay should the seller ever decide to sell their note, mortgage, trust deed or contract.  Use these optimum terms to structure a seller financed transaction for top dollar pricing. Read more

Wraparounds with Underlying Liens

 

When people go to sell their home, the majority will still owe money on a loan from when they bought the property.  Since few sellers own a property free and clear, what to do with this underlying lien is an important consideration with owner financing.

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Real Deal #148 – Seller Financing for IRA Investments!

Welcome to Real Deals!  It’s always easier to learn from real life so here we share information from actual owner financed transactions. It can be challenging to obtain non-recourse loans necessary to finance the purchase of real estate in an IRA, 401(k), or other type of self-directed retirement account.  Seller financing can be a viable alternative financing solution.

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Real Deal #147 – Estate Note in Arizona

Welcome to Real Deals!  It’s always easier to learn from real life so here we share information from actual owner financed transactions. A seller-financed note is an asset. The seller can elect to hold the asset collecting payments, sell the note, or leave to heirs as part of their estate.  Many heirs would prefer cash now rather than payments over time.  A large number of notes are purchased through estate distribution similar to this Arizona note. Read more

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