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HiJack
12-10-2006, 06:55 PM
Many people believe that a real estate broker is needed to sell their house. So they post it with a

broker who may or may not sell it and if they do charge exorbitant fees. One would think that that

commission would inspire to work harder for you. In some cases it does. In many others though, we have

heard of houses sitting on the market for over a year with the realtor only showing it once.

The next option that you have is to sell it yourself. But how? Is placing a sign on your front lawn

enough or do you have to spend thousands in advertising? There is actually a way to get the ads that you

place and the sign on your lawn to have your phone ringing off the hook with excited buyers.

That way is owner financing. With the economy what it is, many individuals' credit have dropped making it

more difficult to get a bank loan. Many of them are good people who were laid off for a while or have had

a sickness in the family. They are back on their feet and ready to buy a house but don't have a ton of

cash to put up front and the banks turn them down. This is where you come in. You are not just selling

them a house. You are their problem solver. Instead of paying payments to the banks, you can arrange it

so that you are the one who receives a monthly mortgage payment and the best part is you can demand top

dollar.

Need cash now? Create a note giving you the legal right to these payments then sell that note for a lump

sum to a note broker. A good note broker will even show you how to structure your note to receive top

dollar for it.

steve-homefree
12-11-2006, 02:07 AM
First of all,are you owner financing a property that already has existing financing?
If so,isn't this a wraparound mortgage? How does the 1st mortgage holder feel about this(DOS clause)?
What if your buyer files Bankruptcy during your financing contract? Wouldn't that red flag the 1st lien holder? Same question for lease options/sub2 deals.

Assuming that these things will not happen is quite a risk.

Hate to sound negative,but I have to be able to live with the worst case scenario.
Having multiple loans called due(worst case) is not a scenario I can live with.

Am I missing something?