Help With Owner Financing, Please!
I have found a great deal and the owner is willing to do a straight owner financing deal. I plan to go this route until I can secure a more favorable mortgage.
I have a title company here and can close the transaction with their help.
What should I ask for? Deed in my name? Should he pay closing costs?
Any booby traps I need to avoid?
Thanks!
New York uses mortgages as security for the debt. Give theseller a mortgage and get the deed in your name. It really depends on your down payment as to what closing costs you should pay. I have paid all costs with zero down deals and have split them 50/50 on some all cash deals. Usually the seller pays for the deed and title policy and the buyer pays for the financing docs and the other fees are split. It is all negotialbe and up to the parties. Make sure a title search is done and you should get a policy.
Good LUCK and Thank You
Hope this helps some
Ted Jr
If you are purchasing the property using owner financing, the property needs to be in your name, they just get to hold the lein.
There are many possible pitfalls, most lieing in the contract portion. If you are not familiar or comfortable without help (It seems you are not) then get a RE attorney to look over the deal for you. Will be well worth the few $$ spent.
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