Posted on: 12th Aug, 2010 07:40 am
If I have a mortgage loan agains the property?
To be more specific; I have a home that is worth $80,000 the balance on my only mortgage is $53,000. The buyer wants me to finance. Can I do it? even if I have the $53,000 dollar loan on it?
To be more specific; I have a home that is worth $80,000 the balance on my only mortgage is $53,000. The buyer wants me to finance. Can I do it? even if I have the $53,000 dollar loan on it?
Hi jorgegomez111,
In technical language it won't be called as owner financing rather it can be termed as 'flipping'.
So if you are offering a deal to buyer do not propagate it as owner financing.Because one can only be able to offer owner financing deal when one is having 100 % equity in the property.
DIPA
In technical language it won't be called as owner financing rather it can be termed as 'flipping'.
So if you are offering a deal to buyer do not propagate it as owner financing.Because one can only be able to offer owner financing deal when one is having 100 % equity in the property.
DIPA
Thanks,
That's what I was affraid of.
I appreciate your help!
That's what I was affraid of.
I appreciate your help!
DIPA is incorrect. This is not flipping.
When you sell the home, the $53k will have to be paid to the bankt that is holding the current mortgage. You can owner finance the rest.
When you sell the home, the $53k will have to be paid to the bankt that is holding the current mortgage. You can owner finance the rest.
Eric,
So you're saying I cannot keep that first lien and then put the new balance if I we're to finance it as a second lien?
So you're saying I cannot keep that first lien and then put the new balance if I we're to finance it as a second lien?
No, because you are selling the home and the loan is tied to YOU...not the person buying your home. The loan could have been transferred to the new owner but only if that loan is "assumable" .... and I would bet anything that you loan is NOT.