October 24, 2014 | No Comments YetTags: Broward County Rent To Own, buying a house with bad credit, Buying a House Without a Realtor, buying real estate, For Sale By Owner Tips, how much does it cost to sell a house, how to sell a house by owner, How To Sell Your House By Owner, How To Sell Your House Yourself, I buy houses, i need to sell my house fast, rent to own, sell your house fast, Why Sell My House Rent To Own?
Why Sell My House Rent To Own?
These are the most common questions and concerns from sellers considering selling their house with a rent to own or owner finance?
How Long is The Term?
Well that is up to you (seller) and I (buyer) to set frankly it may change based on the buyer needs. We usually do a 3 year term and find little resistance to that in the marketplace. Is that OK?
I am concerned about transferring title without a big down payment
It’s possible we’ll get a BIG down payment. In fact that is my main objective and how I get paid. Sometime we even find a cash buyer. If necessary we can switch to a lease purchase where you won’t be transferring the title but usually buyer will put up a much larger down payment than we get from lease option tenant buyers.
I don’t want to be in a situation where I have to foreclose or evict
Understood. That’s why we perform the most through check on our buyers possible before even presenting to you and require a substantial down payment. You’ll have the final say and will be able to review a comprehensive package of imformation on them to give you comfort and if you want I’ll stay in the middle until you are cashed out and handle any potential issues.
If the buyer goes bankrupt it will be really hard to get the property back
That possibility may exist but keep in mind you will have an extremely thorough information package on the buyer and a substantial down payment that should seriously minimize that risk. The alternative is to sell for all cash with likely discounts, concessions, inspection headaches, and last minute requests and hope it closes while you continue to pay the bills on the home. There are some risks down every avenue but we aim to minimize that for you as well as give you final decision on the buyer.
My lender might call the loan due on transfer of the property
That may be possible but it is unlikely. Lenders want to get paid monthly until the loan is actually paid off. That is why they made the loan in the first place. As long as they are collecting regularly it would be a terrible business decision on their part to call the loan due and chance not getting paid longer. But if it really bothers you we can lease purchase so title doesn’t transfer until you are cashed out.
What if they still do not qualify when the balloon payment or option is due?
We would only select buyers who are very likely to qualify and the will have substantial skin in the deal. However, if that happens you have control over what happens next and can evaluate whether or not to extend the term or not. Worst case the move, you keep their deposit and you do it again or call me to handle it.
My attorney will have to review
Of course. We would expect that and all our closings occur with an attorney. Having said that, not all attorneys are familiar with anything beyond the traditional cash sale. There may be some confusion. What unanswered questions may I clarify for you so you can explain everything clearly to your attorney?
Why should I tie my property up if you are not buying it?
I only deal with sellers offering terms so I can find term buyers who can qualify for a cash out given a little time and work. My chances of locating this kind of buyer are many times greater than your agent finding a cash buyer. There is no commission to pay and usually I raise the price enough to cover my compensation and get you full price. I only need 90 days and your house will get all my focus and substantial marketing budget and that’s assuming someone on my current buyers list doesn’t take it.
If I have to foreclose or evict they will tear up my property
People buying executive homes with substantial investment don’t tear up properties. In fact, I have found the opposite is true. When I bring you the package on them I think you will see that will not be a concern. Don’t forget, you get to approve them and if you don’t they won’t go in.
To be continue….
What You Do Next…
Go to http://fchomesbroward.com/ and complete the Property Information form or simply call 786-505-8884 and we’ll complete it over the phone. It’ll only take a few minutes.
We’ll discuss the facts by phone and tell you what we can and can’t do and if we both agree to move forward we’ll visit the home, answer questions and leave you with the agreement.
Once the agreement is executed and you tell us when you’re ready we’ll begin showing to our current buyers list or find new ones if necessary.
Review our buyer and if you approve we’ll set up the closing for the tenant buyer to attend. You do not need to be present
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