Tag Archives: risk

Owner Financing | Owner Financing is Often the Best Way to Go

Owner Financing – www.reimaverick.com If you look at the statistics recently released by the National Association of Realtors, you may believe that the housing market is looking up. According to information released in January, the housing affordability index was at its highest level ever. It came in at 206 which means that average families have twice the amount needed, in terms of income, to buy a house. This is assuming that a 20% down payment is made and 25% of the income will go to a mortgage. They also believe that the index will remain at this level for the rest of the year. What does that mean for real estate marketing though? Will homes start to sell now that families can afford them? Not necessarily. If a bank is not willing to loan the money for a mortgage, you may not be able to buy or sell. What do you do when this is the case? Why not turn to owner financing? If an owner is willing to finance his or her home, both parties can get a great deal. What are the advantages of going this route and why are so many turning to this form of creative real estate investing? There are advantages for the buyer, the seller and both parties so you may wish to finance your new home this way, and if you are a real estate professional seeking to understand how to buy and sell houses in this tough economy, then this article will provide the answers to questions that you may have about owner financing. When you have poor credit, you will likely not be able to obtain a mortgage

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    Does a contract for deed / seller financing included taxes and insurance?

    Let’s say I’m trying to purchase a 0,000 property. The seller is willing to accept 10% down payment and provide financing for the remaining 90%.

    In essence, they would then pay the mortgage that they have on the property (contract for deed). Would I need to structure the seller financing to include taxes and insurance?
    OldJimmy is correct. (I’m in KS by the way.) This seller does not own the property outright. (I’m confirming that today though). It was my understanding that ‘seller financing‘ and ‘contract for deed’ were basically the same thing. I would obviously file the ‘contract’….but I recognize the risk that if they foreclose…I basically lose my money.

    If I structured a ‘seller financed mortgage’ instead of a ‘contract for deed’….it sounds like they basically have a contract with ME….not the bank. So, they collect my money…and turn around and pay their mortgage. Correct? That doesn’t sound right…who is the first mortgage holder than?

    Thanks.

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    can the Government buy all foreclosure homes?

    Is it possible for the government to buy all foreclosure homes and resell them to the owners who are at risk with a small interest rate? They would buy all homes in foreclosure up to a specific month, after confronting that task they would force banks, brokers and loan officers to fix the loop holes and the issues thats cause the crisis in the first place…I think they should also enforce a new home owner class where own owners would learn to manage their funds, what they should avoid etc.

    I know thats a big task but thats a serious step…

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    Real Estate Investing Training Video Risk Free Lease Options

    www.localmentor.com real estate investing training video – risk free performance lease option strategy for declining real estate markets. Lock in profits, eliminate risk, skyrocket cash flow, wholesale flip to other investors or keep for long term passive income and equity profits. Discover more ‘real deal’ real estate investor strategies for free at www.localmentor.com free e-course on “How to Succeed In Today’s Real Estate Market” Mentoring and Coaching subject to wholesaling flipping short sales foreclosure fix n flip

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