The real estate market has made bank financing a nightmare, the endless signing of forms, the often times confusing process and with the near weekly changes of approval criteria for a mortgage makes wonder what you can finance and what you can’t. Just about every US Real Estate market has been taken for a wild ride, and it doesn’t seem like it is going to let up any time soon.
Sure you can try to wait out the storm but sometimes you just have to move. Or possibly such as times like today it is once in a lifetime the right time to buy a home. It might be time to consider buying a new home on owner financing. Now unless you have bought or sold a home on Seller Financing you might not realize that it has its own pitfalls as well.
First off, let us say you want to turn to a real estate agent for help. Well very few agents are well versed with the true inner workings of a successful owner financing transaction. Here is a simple test to try for yourself.
Ask any real estate agent how many deals in the last year he or she did that involved owner or seller financing? How about the last two years, or three, or four years?
I bet the number wont be high, in fact there are quite a few real estate agents scrambling to learn all they can about owner financing. Many Real Estate Agents feel that is where the market is heading, at least for the next few years.
Now moving on is the next piece of the owner/seller financed puzzle, you have the owner to deal with. Please do not take this as a slam on owners who offer owner financing, in fact a honest reputable owner should be glad you are reading this. A truly reputable property owner offering financing will want you to be as informed as possible.
It makes the whole process go a lot smoother for both parties. One of the main problems in an owner financed house is you have just met the owner, you know nothing about their previous business arrangements, their reputation, or really anything at all with someone who you will be tied and obligated to for possibly many years to come.
See buying a home on owner financing is quite different than going to the bank or mortgage broker for your loan.
If I were to guess; the fact you were searching for a owner financing home means you most likely are not able to get financing right now. Please I don’t want you to feel like you are alone there are a lot of people in your same situation, trust me I know, I help them find home’s every single day!