“Understanding Owner Financing”
I’m curious if you have any insight on owner financing a home? A proposal from my current landlord to owner finance a home he is trying to sell, I have some worries since I don’t know the first thing besides reading up on it prior to this email. I ran across your name in a google search and figured I’d reach out.
The home is in South Windsor, CT. I was recently pre qualified for a USDA loan, due to an oversight on my part my score had dropped below what they were willing to use. We switched mobile carriers and didn’t pay the final remaining balance. It was sent to collections which is when we realized our error. It’s paid and I’m currently trying to get it removed with no luck so far. But that’s the back story.
My worry is that I don’t want to get screwed in the long run. I know that the interest rate is usually higher than an mortgage would be. So most of the payment I make wouldn’t be going towards the principle. Is it worth owner financing right now?
There is nothing wrong with owner financing when all documents are reviewed by legal counsel and the terms are within reason compared to what is available through a mortgage company like ours.
I have coached my clients through the process. When available it can definitely be a viable option.
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Joe Petrowsky, NMLS #6869
Right Trac Financial Group, Inc. NMLS #2709
110 Main St.
Manchester, Ct. 06042
Office: 860 647-7701 x116
Fax: 860 647-8940
Cell: 860 836-9294
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