Q: What Are the Benefits of Seller Financing?
A: Seller financing is a viable option when the seller does not immediately need the entire cash equity they have accumulated in the home. A seller may also require the buyer to carry hazard insurance on the property and include a due-on-sale clause, a provision in the mortgage note that allows the seller to demand full repayment if the borrower sells the property. Other financing, disclosure and repayment-term requirements also will need to be met. It is a good idea to consult an attorney when putting together this kind of transaction.
|
Today's Top Stories |