Seller financing - Posted by Dan

Posted by ChrisX on September 12, 2006 at 24:25:55:

Hi Dan,

If the property is listed, you can use the agent’s form to submit your offer. You’ll offer a purchase price of XXX. In the “financing” terms, you’ll just offer XXX down with payments of XXX at XXX% interest, amortized for XXX years, due in XXX years (with a large balloon for the balance of the note).

I would suggest a longer term for the payoff (though I don’t know the numbers involved). I’d give myself a minimum of 2 years, and 3-5 years if possible, cause time flies.

If the property is FSBO, you can use a purchase agreement/offer form from any real estate course or from some of the websites that offer them (with approval from your trusty attorney of course) or from one of your investor contacts at your local real estate group (same attorney caution).

All offers (and the forms they’re written on) are yours to play with, create with, cross out and initial, write in and initial, and add addendums to, if you like. It’s just a legal documentation of your plan (offer) and their agreement (acceptance), when completed.


Seller financing - Posted by Dan

Posted by Dan on September 08, 2006 at 18:15:16:

What kind of purchase contract is best to use when the seller will finance the purchase? I’ll do a down payment to cover his closing costs, and pay so much a month toward the purchase, then after 12 to 18 mos., I’ll pay him off in full…minus the down and monthly payments. Thanks much.

Re: Seller financing - Posted by Dan

Posted by Dan on September 09, 2006 at 01:38:38:

I would really appreciate finding out what kind of purchase contract would be best for a seller financing type of buy. I would put up a down payment at closing to cover sellers closing costs, and pay a monthly amount for 12 to 18 months. Then pay them off in full minus down payment and monthly payments. I would really appreciate knowing what kind of contract would facilitate this. Thanks much.