Dodd-Frank Hijacks Owner Financing

Private property owners have been swept into the regulations of the Dodd-Frank Wall Street Reform and Consumer Financial Protection Act which was signed into law in July 2010. Owner financing will be regulated in Title XIV Section 1401(2) (E) Mortgage Loan Origination Standards. The law restricts private property owners who want to sell their own property using owner financing (installment sale). These are some of the consequences. Homeowners die before … [Read more...]

How HUD Safe Act Will Hurt Seller Financing

Be afraid! HUD is poised to take away our rights to offer owner or seller financing on property we own. Under the Safe Mortgage Act proposal, you can only offer owner financing on the home you live in or you must become a licensed mortgage originator. Here’s how I see it. If we own a property, ANY property (whether it is our residence or not), we should be able to sell to a buyer with owner financing. HUD’s proposal is to provide an exemption to “where an individual seller provides … [Read more...]

Top 5 Articles on Seller Financing

Owner financing was a hot topic in real estate last year and all indicators point to increased demand in 2010. In search of alternative financing methods, … [Read more...]

Does Seller Financing Qualify for the $8,000 First Time Homebuyer Tax Credit?

Great news!  The IRS has specifically answered "YES" to this question. It seemed pretty straight forward that owner financed transactions involving a deed to the buyer and a note and mortgage (or deed of trust) back to the seller would let qualified buyers take the First Time $8,000 Homebuyer Credit.  However, some wondered if … [Read more...]

Owner Financing – The Top 3 Reasons for Seller Financing

All things being equal, the average seller would prefer to sell a property and walk away from closing with all cash rather than a note for part of the sale price. Then why do sellers agree to take back financing? Here are the three most common reasons behind the installment sale. … [Read more...]

The Many Faces of an Owner Financed Buyer

Have you ever tried to describe the “typical” buyer purchasing property where the seller provides financing? Many mistakenly think of only those that are “down and out” on their luck. Let go of preconceived notions and start looking at seller financing as a potential creative financing solution. … [Read more...]

The Downside of Owner Financing – Disadvantages to Seller Financing

What's old is new again and the credit crisis, struggling economy, and real estate market are making seller financing the come back kid. Offering to owner finance a property can attract buyers and even save transactions as banks increasingly stamp "DECLINED" on mortgage applications.  Before you agree to "Be the Bank" carefully consider the downside to providing creative financing. … [Read more...]

Owner Financing – 10 Advantages to Using the Seller Carry Back

The word is out and seller financing is on the rise as buyers and sellers look for creative ways to finance property in the struggling market. So what's all the hype? Here are ten advantages to using the seller carry back to buy or sell real estate. … [Read more...]

UPDATE on HR 1728: How Congress Wants to Change Seller Financing

There is growing and legitimate concern over how Bill HR 1728 would severely restrict seller financing. Be sure to read this informative update. … [Read more...]

Using Owner Financing with the $8,000 First Time Home Buyers Tax Credit

The government is offering first time home buyers an $8,000 tax credit in an effort to stimulate the ailing real estate market. Sellers can attract buyers by highlighting the refund in their ads, especially when used in conjunction with owner financing. … [Read more...]