Sell Your Home and Invest at the Same TimeI continue to see the same For Sale signs in my neighborhood. The houses just aren't selling. If you are considering selling or have a home on the market that is not moving, it's time to think about financing the sale yourself. A good friend of mine bought a new home three months ago, and he has watched his old house sit unsold, while he's struggled paying two mortgages. I finally convinced him to get past his fears and finance the sale of his old home. He's thrilled that he won't have to make two house payments any longer, and he doesn't have to worry about that empty house. Here are a few basic tips I gave him that helped make the transaction a whole lot smoother. Be sure you have a well-written land contract that spells out every detail of the transaction. This is, in essence, your purchase agreement. Get yourself a title company and have your title agent file the land contract with the county. This makes it all legal. Be sure to get a good down payment. Five percent would be great, but if the buyer can't afford this, be sure to get a few thousand dollars. This will give the buyer a little equity and make the move to a conventional refinance loan much easier. Be sure the terms are very specific. Just like any mortgage, there should be an interest rate on the loan, a 30-year term, with a balloon payment. This means the payment is spread over 30 years, which makes it easier for the buyer, but you will get all of your money in a specified time, say 2-7 years. It's always a good idea to talk to your buyer about credit worthiness. You are extending credit, with the understanding that the buyer will go to a bank for a conventional loan to pay you off. That bank will want a decent borrower. So, it will help your buyer and you to educate him a bit on putting himself in better position to get the loan. Make sure he pays you with a check, so the bank can trace payments. Discuss credit cards and other monthly debt and be sure he knows to pay everything on time. Finally, explain that a couple of months worth of payments in savings (cash reserves) will be required to secure his loan, so he should plan ahead and start putting away each month. Other assets are also acceptable, such as retirement benefits, stocks, and forms of money that are easily accessible. Finally, instruct your buyer to do everything possible to maintain the house and even to improve it, as this will help with increasing the home's value, which will be a vital part of refinancing into a conventional loan. These are just a few of the important steps to seller financing. Mark Barnes is the author of the new novel, The League, the first work of fiction, based on fantasy football. He is also an investment real estate and home loan finance expert. Learn more about this suspense thriller at http://www.sportsnovels.com. Get his free mortgage finance course at http://www.winningthemortgagegame.com
Find vintage posters and collectible posters at www.OfficeJax.Has.It MORE RESOURCES updated Sat. July / 27 / 2024 Mortgage and refinance rates today, July 27, 2024: Fixed rates decrease, adjustable rates increase Yahoo Finance Mortgage and refinance rates today, July 26, 2024: Rates are well below their 52-week averages Yahoo Finance Mortgage and refinance rates today, July 24, 2024: Rates have staggered since last week Yahoo Finance Joe and Jill Biden refinanced their Delaware home 20 times — raking in $4.2M from the $350K property New York Post Average Mortgage Interest Rates: Mortgage Rates by Credit Score, Year, and Loan Type Business Insider Mortgage Recasting: What It Is And How It Works Bankrate.com How to Refinance Your Mortgage NerdWallet Current Mortgage Trends: Are Mortgage Rates Going Down? Business Insider 15-Year Mortgage Refinance Rates: Compare Current Rates Business Insider Best Mortgage Refinance Lenders of July 2024 Business Insider Jumbo Loan: Definition, Rates, and How to Qualify Business Insider Mortgage Interest Rates Today, July 26, 2024 | Rates Steady After Falling Earlier This Month Business Insider How Much Does It Cost to Refinance? Average Closing Costs by State Business Insider How To Refinance An Underwater Mortgage Bankrate.com Mortgage Interest Rates Today, July 24, 2024 | Rates Hold Steady Business Insider FHA Refinance Rates: See if You Could Lower Your Rate Business Insider Best Refinance Lenders of July 2024: Refinance Your Mortgage The Motley Fool Today's Mortgage Rates by State - July 24, 2024 Investopedia Understanding 30-Year Mortgage Rates: A Comprehensive Guide Business Insider Current VA Refinance Rates: See if Refinancing Is Worth It Right Now Business Insider What current mortgage refinance rates mean for your situation CNN Underscored Mortgage refinance demand drops further, despite homeowners sitting on $17 trillion in equity - CNBC Refinance Rates Today: Compare Mortgage Refinance Offers Business Insider Mortgage Points: What Are They And How Do They Work? Bankrate.com Today's Mortgage Rates by State - July 23, 2024 Investopedia Is it Time to Refinance Your Mortgage? That Depends on When You Closed The Wall Street Journal Current Home Equity Loan Rates: Your Guide to the Best Rates Business Insider Refinance applications increase despite overall drop in mortgage activity Mortgage Professional Real Estate Housing Market 2024: Will Home Prices Drop? Business Insider Mortgage refinance demand jumps to two-year high Morning Brew Assumable Mortgages 2024: How They Work, Benefits, and Insights Business Insider Should You Refinance Your Mortgage In 2024? Bankrate.com Mortgage Interest Rates Today, July 21, 2024 | Rates Are Down This Month. Will They Continue to Drop? Business Insider How To Get The Best Refinance Rate Bankrate.com Mortgage Rate History: 1970s To 2024 Bankrate.com MBA: Mortgage Applications Decreased in Weekly Survey Calculated Risk Do I Need Money Down To Refinance My Mortgage? Bankrate.com 30-Year Mortgage Refinance Rates Business Insider The Ascent's Complete Guide to Mortgages The Motley Fool Types of Mortgage Refinance Options Bankrate.com Cash-Out Refinancing: What It Is, How It Works Bankrate.com Cash-Out Refinance For Home Improvements Bankrate.com Should You Refinance Halfway Through Your Mortgage? Bankrate.com Housing Market Predictions 2024: What Homebuyers Should Know Business Insider What Credit Score Do You Need To Refinance? Bankrate.com Are Cash-Out Refinance Rates Higher? Bankrate.com Loan Modification Vs. Refinance Bankrate.com 15-year refinance rates: Pros, cons and current lenders offers CNN Underscored Best Student Loan Refinance Companies of 2024 Business Insider Refinance Requirements: What You Need to Refinance Your Home in 2024 The Mortgage Reports Mortgage Interest Rates Today, July 22, 2024 | Rates Are Dropping. How Low Could They Go? Business Insider
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