Because banks are often unwilling to lend to buyers of vacant properties, owner-financed land might be an excellent alternative to a mortgage for property buyers.
Owner financing permits buyers who would not otherwise be able to participate in the market to do so.
It also allows buyers to spread the expense of the land over a number of monthly payments, which may subsequently be countered by finding innovative ways to create money from raw assets.
This is a real example of owner-finance:
Assume a seller promotes a house for $145,000 with owner financing and the buyer and seller reach an agreement on a price. The seller requests a $29,000 down payment as a 20% deposit. The seller offers to finance the remaining $116,000 over 20 years at a 10 percent fixed interest rate with a six-year balloon payment.
Whatever your reason for wanting to sell owner-financed land, here’s what you should know before you do.
⦁ Down Payments Can Be Negotiated
Negotiable down payments are a huge advantage of owner-financed land.
Maybe you desire a bigger down payment than the buyer is willing to make (or that the buyer has at all). Not to worry! You have the option of allowing the buyer to make lump-sum payments toward a down payment on an agreed-upon timetable.
It never hurts to inquire!
For example, we buy and sell lands and properties in Jonesboro, Paragould, and other Arkansas areas, and we have an active owner financing promotion.
⦁ The Owner-Financed Sales Process Moves Faster
If you’ve never sold a house or land before, you might be surprised at how long an institutional buyer can take to process the financing.
There is no waiting for a buyer’s application to be approved by a bank’s loan officer, underwriter, and legal department.
Owner financing eliminates the middlemen, leaving only you and the buyer, and the buyer is always eager to move the transaction forward.
As a result, you can close faster and receive your cash sooner.
How To Use Owner Financing When Selling A Property
It is not difficult to locate a buyer looking for owner financing. If you’re confident you want to offer this incentive, you can include it in your listing agreement, but the buyer will most likely contact you with the suggestion.
Be sure that the prospective buyer completes a loan application and thoroughly validates the facts contained within. Conduct a credit check. Check references and confirm employment and earnings. Do everything a conventional bank does before authorizing a loan.
All of these issues can be avoided with Triple L Investments. Triple L Investments is a Northeast Arkansas real estate investment firm specializing in the acquisition, development, and management of single-family, multifamily, and commercial properties in Jonesboro, Paragould, and surrounding communities.
If you need to sell your house, we would be delighted to make you an offer (this is where owner financing comes in). Please let us know if you need to rent a property; we rarely have vacancies, and when we do, they go quickly.
We Buy Properties Of All Forms And Sizes And In All Conditions.
When you conclude an owner financing transaction with Triple L Investments, you can reach an agreement with us. We’ll make you an offer, and if you don’t like it, we’ll bargain until we reach an agreement that works for both parties, the house seller and us, the real estate investment firm.
Another advantage of selling to Triple L Investments is that you can complete your owner financing transaction in three years or less.
Be prepared to move forward and out of your home as soon as you and the buyer have reached an agreement on the loan duration, down payment, interest rate, and payment plan. This type of transaction normally closes fast because you don’t have to deal with the multiple parties involved in a typical real estate transaction.
Listing with an agency is ideal if you have a wonderful property and can afford to wait for the right buyer. The real estate market is heated, and attractive properties are selling quickly. We can, however, assist you in avoiding the headaches of a typical transaction. Traditional buyers’ financing may fail, having dozens of people walk through your house at an open house, and worrying about inspections may all add stress and months to the process. When you factor in the agent’s fees and the items the buyer wants you to address, the actual amount you get in your pocket is almost never the price you’re selling for.
What is the solution to avoiding the ambiguity and length of the process? Sell to Triple L Investments directly. We buy houses directly from homeowners and land from landowners directly. Sell your home quickly without the headache of waiting for buyers or paying commissions.
A typical seller wants to sell their property quickly and for the most money possible, but is this the best option? If you need the cash for an emergency, go ahead and take the full amount; but, if you don’t need all of the cash, you should think carefully about it.
The truth of selling a house is that you do not walk away with the entire transaction price. How is this possible? As a seller, you must pay the property’s closing costs, real estate fees, title insurance, broker fees, the balance of the current loan, and maybe capital gains tax. Why put yourself through additional stress and financial outlay when you can easily attempt the option of an installment sale? There is no tension or unnecessary billing, and the cash received from the transaction is not wasted all at once.
You only pay gains on an installment sale if you receive monthly installments. This is especially useful if you have owned the property for a long time.
Why Should You Sell Your Property To Us?
We are a Northeast Arkansas real estate investment firm specialized in the acquisition, development, and management of single-family, multifamily, and commercial properties in Jonesboro, Paragould, and neighboring towns. Rector, Marmaduke, Brookland, Walnut Ridge, Trumann, Bay, Lafe, Oak Grove, and Bay are all included.
Looking for a quick and easy way to sell your home without the hassles of realtors, finance firms, appraisals, and so on? We can certainly assist you with that. We need more properties, and you need to sell yours; we can work something out. You do not need to spend extra money on a realtor, and you do not need to be concerned about selling your property taking too long. You only need to get in touch with us. We can make use of your escrow or ours, depending on your preferences. Then, sell your house quickly and easily to a reputable buyer.
If you want to sell your house quickly and with minimal stress, selling via the owner-finance method is the ideal option. As a seller, you have an additional benefit because you can choose your own price for the property or land.
If your property requires extensive repairs and you are unwilling to put money into it, selling via owner-finance is another viable alternative for you, and we can help you with that as well.
Owner financing provides numerous benefits to the seller, and you may take advantage of these benefits by working with us at Triple L Investments LLC.