If you’re looking to sell the conventional way, try out owner financing as it will increase your chances of selling fast in Houston, Texas. Owner financing is increasingly becoming popular as it gives buyers an opportunity to make a purchase in Houston even though they cannot secure mortgage on their own. On the side of the seller, this option gives them an opportunity to control the process and ultimately, get the desired results.
With seller financing, anyone caught up in some sort of financial distress can easily get himself or herself out. That means that you can even pay off whatever’s left on the mortgage and avoid losing the Houston house to foreclosure.
Owner financing also works wonders for those people who wish to operate in a slow real estate market in Houston, Texas. We all know how involving the process is. First off you have to find a buyer with the right offer, draft up an agreement and make sure all parties are okay with the terms of the sale, draw up papers, and more.
Applications
Remember, in this case, you’ll be the lender. So once you receive offers from prospective homebuyers, ask everyone to fill out an application. Make sure you get the credit check, financial claims, references, employment information, and assets. After receiving this information, the verification process commences, as this is important as well. You have to ensure that what you have is up-to-date and accurate. That’s why verification is crucial. It helps you weed out people who are trying to get into the house even though they know they can’t make ends meet.
Purchase price
This is the next step. You’ve already set the asking price, you’ve received counter offers, and now you need to decide what’s appropriate for your pockets. Just because you’re about to lose the house to foreclosure doesn’t mean that you should settle for less. You deserve a fair compensation.
Down payment
You obviously know how crucial down payments are when dealing with these situations, right? there’s a reason as to why banks ask buyers to put down a down payment of 10 to 30 percent. In addition to showing how serious the buyer is about the investment, it also makes sure they get what they need to avoid defaulting on their own mortgage. never make the mistake of allowing the buyer to make a 5 percent down payment on your home. That’s something that you might live to regret for the rest of your life.
Charging interest
You’re allowed to charge the buyer more than what a bank or lender would typically charge because they got a home without going through the tedious process of securing a mortgage. go high but don’t go too high. In other words, be reasonable.
Sell to a cash buyer
If owner financing isn’t your cup of tea, you can choose the other route and talk to a cash investor who’s ready to trade the home for cash. We Buy Fast Houston Houses is such investor. Call us, today!
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