Questions On Owner Financing
Hi all,
I have a lead where the owner is willing to hold all costs until after we're done making repairs. He will get his price after we sell the house.
I have a couple ideas, and I'd like to know what you guys think of them, and also if you guys have other suggestions that I didn't think of.
1. transfer title to my land trust, and have him finance the deal. This seems like the safest way, but I'd like to avoid/delay the first set of transfer and settlement taxes.
2. keep the deed in escrow. as long as we do the repairs like we say we're going to do, then we get the deed. Not sure what happens once we get the deed.
Would having a mortgage on the house vs. having the house be free and clear change the approach?
Any help would be appreciated.
John
I read through my post again, and would like to clear up some points.
The numbers work regardless of what I do to this part of the deal. I just want to make it sweeter. I estimate that title charges and transfer charges will total 2500.
The owner is pretty much willing to do anything. I just want to make sure that my interest in the property is protected.
Also, I have easy access to money for the repairs whether or not I have the deed.
Thanks,
John