Too Late To Go The Owner-financing Route
I'm currently in contract to purchase a duplex, which bec. of my lack of experience, the low interest rates, and a low purchase price (52K for a well maintained and easilly rented duplex with good cash flow), I decided to go the "conventional" route: 10% down, 90% financed. In my hurry to get my offer accepted, I failed to inquire how much the seller still owes. As it turns out, he owns the prop free and clear.
I'm at a stage where the bank has already pretty much approved my loan app. My question is: Is it too late to contact the seller and inquire about him financing everything minus my dp? Can I do this w/o having to go thru my agent and the listing agent? They (the agents) will still get their commissions but the whole process of going thru 2 agents takes a lot of time and I need a quick answer. Based on the contract, I have less than 2 weeks left to close.
The reason why I'm considering going this (owner-financing) route is because although well maintained, there are a few things that need to be fixed which the seller has indicated that he was not willing to do. I was thinking, that I'd rather use the money that I save on closing costs for these.
Thanks for any advise![ Edited by aurera on Date 11/05/2003 ]
Hi aurera,
You could certainly try. You can go around the agents involved and speak with the seller directly. Neither of the agents will be happy about it because they like to preserve and protect the deal so that they get paid for sure.
The other thought is that if the seller would indeed be ok with selling on contract, he is generally going to want something down, and it may be more than the 10% that you are doing conventionally! Just my take on it!
Best of Success!
BAMZ