Simultaneous Closings
Sell Property, Then the Note
(but
in effect, do them either at the same time or very close to it)
1. Sell the Property, with Owner Financing
SSE Capital Funding will find the right funding source
out of the many possible that we do business with who
then contracts to buy the proposed owner-financing. The owner then sells the property, & finances the buyer.
2. Sell the Financing,
The owner then sells the financing note to the Funder, as was agreed to before the property sale was made.
3. Walk Away with the
Cash
The owner gets cash for the private mortgage note.
Only the funder and the property buyer are related to note.
You
may sell all or only part of the private mortgage note.
There are hundreds of funders buying these notes. Which funder is best for your note depends on whether it's a commercial or residential
property and note, whether it's for more or less than $100,000, and other specifics about your note and your needs.
As an independent broker, SSE Capital Funding finds the right
partner funder that meets the needs of our customers.
BENEFITS OF OFFERING OWNER FINANCING
FLEXIBILITY
SSE works with private Funders, not banks and as
such are not subject to the common banking regulations. They
therefore commonly have more flexibility to approve property buyers, and assure you that they will buy your note.
SPEED OF TRANSACTION
SSE can get you a quote fast, often within 24 hours.
This is normally quicker than a bank loan approval committee,
because we are not dealing with a bank.
SELLER'S
COST
The sole costs to the buyer are a credit check, appraisal, & title work. There are never any points. All of
SSE's fees are paid by the funder, never the seller of the note.
MARKET SIZE
When an owner or agent advertises "Owner Financing" it greatly increases the number of people who respond and the number who can qualify to buy the property.
Look at the following example & guidelines, then
call us to see how much cash your note could be worth.
AN EXAMPLE OF A
SIMULTANEOUS CLOSING
The owner wants to sell a property (residential or commercial) and needs to walk away from the sale with at least $100,000.
Our Funder (buyer of the note) proposes that the owner offer the following financing to a prospective buyer:
Property Appraisal is $115,000
The Sale Price is $115,000
The Down Payment is $11,500
So the 1st Mortgage will be $103,500
On a 30 year term, 9% interest, with a monthly payment $832.78
Obviously
here, our Funder will be instrumental in structuring this
deal to come to these exact terms.
The Funder contracts with the property owner to purchase this note for $93,150.
The Funder will verify that a prospective property buyer qualifies for the financing.
By taking the process of due diligence from the seller we
make the transaction even easier than the seller would have
if they were working alone.
The owner then receives at closing.
Down Payment $11,500
Sale of the note $93,150
For a total of $104,650
QUALIFICATION GUIDELINES
for
the simultaneous closing
Property Types:
Single Family Owner Occupied
Single Family Non-owner Occupies
Apartment Building
Small Commercial
Double-Wide Mobil Home (DWMH) with land
Maximum Loan-to-Value Ratio
Single Family Owner Occupied - 95%
Single Family Non-owner Occupies
- 85%
Credit mark of Note Payor
(property buyer)
Single Family Owner Occupied - 550
Single Family Non-owner Occupies - 600
Mobile home with land - 625
Loan Term
10, 20, or 30 year
Interest
7% - 10%
If
you are a real estate agent or broker, you have probably
already seen how this could help you close those
transactions that sometimes fall through because the buyer
can't qualify for bank or regular mortgage financing, so
please don't hesitate to let us add a small addition to your
standard bag of tricks to close more deals, help more sellers sell
their property, help more buyers to own their own home!
FREE, No Obligation Consultation!
Contact us toll free at
877-294-9319
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