Increase Value with Payment Histories

Keeping an accurate record of the payments received on the promissory note shows how much the buyer still owes along with their payment habits.  Plus, note sellers can also improve the value of their note by providing a verifiable payment history to the investor! … [Read more...]

What is Due Diligence?

Before a note investor will pay cash to a seller for future payments, they perform what is called “due diligence”. This is really just a fancy word for research.  You can simplify the process by being prepared for these common requirements. … [Read more...]

Real Deal #142 – Balloon Note in Florida

Welcome to Real Deals!  It’s always easier to learn from real life so here we share information from actual owner financed transactions.  It was a nice home in Florida with the seller asking $234,000.  The buyer was eager to purchase the property and had saved almost 10% for a down payment.  There was only one problem. The buyer was unable to obtain a conventional mortgage loan due to some past credit issues, primarily attributed to medical bills.  Seller financing was the solution. … [Read more...]

Verify Taxes and Insurance

Worried the buyer won’t make payments?   Understandably, this is a common concern by sellers using owner financing.  After all, an owner financed note is one of the seller’s most valuable assets.  Unfortunately so many sellers fail to protect their asset when it comes to verifying current property insurance and taxes. … [Read more...]

5 Reasons Sellers Offer Owner Financing

Why would a seller allow a buyer to make payments over time for the purchase of property?  Here are five reasons sellers consider financing property rather than requiring the buyer to obtain a bank loan: … [Read more...]