Vashon Real Estate: Sellers Acting as Lenders!
November 5, 2008 at 8:49 pm Leave a comment
In view of the tightening mortgage market, some home sellers are seizing the opportunity to finance home sales on their own. For sellers with the capacity to take on financing, this option represents a terrific opportunity to distinguish a home from the competition in this buyers’ market. Among the benefits for a seller is the opportunity to create an income stream via mortgage payments and the availability to realize an interest return. Capital gains can be deferred and create retirement income.
Loans that are most difficult to obtain, including jumbo mortgages and financing for commercial properties, are traditionally subject to owner-financing agreements, however, the same options can be done for any property type and the seller can finance all or part of the loan.
Seller financing opens up a home sale to a broader range of potential buyers who might otherwise be overlooked under traditional mortgage criteria, including self-employed, those who work on a commission, or buyers with credit issues.
There are, of course, risks involved, and sellers need to be well-informed before pursuing this option. It is wise to get an attorney’s eyes on any agreement a seller may contemplate.
For more information on owner financing, visit NoteQueen.com.
Entry filed under: • Real Estate, Housing Market News. Tags: Seattle mortgage, Seattle real estate, Vashon mortgage, Vashon real estate.
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