Offering owner financing is an excellent way to sell your house for the price you want, all while making money off of the interest. Learn more in this post!
Offering owner financing or a rent-to-own agreement is an excellent way for investors and homeowners who want to sell a house quickly and for the price they want. While the home won’t be sold outright until the end of the agreement, it can be a way to increase what you’re making each month, while almost guaranteeing a sale on a pre-determined date. Many people don’t consider this option when selling their Greater Cincinnati Area house. However, if you don’t need the entirety of your proceeds upfront, selling your house in Greater Cincinnati Area with a rent to own agreement may be right for you!
When you use a rent-to-own agreement or offer owner financing to buyers, you will open the door for many people to buy your house who may not have been able to before. More potential buyers means that you will be able to get a contract signed much more quickly. You will be able to find potential buyers who are eager and determined to follow through on their end of the transaction. Be sure to do your homework on your prospective borrower. If a traditional bank had turned them down in the part, there is likely a reason why.
Owner financing is favorable for buyers who are unable to apply for a mortgage loan. This allows buyers to get a home faster despite not being able to get bank financing. This also provides to both buyer and seller. Buyers can also avoid a big amount for a downpayment required by a bank. In owner financing, the seller and buyer find different terms that they can agree whereas not as rigorous as with a bank.
Create Consistent Income
By offering owner financing, you’ll be able to bring in a consistent income each month, with a lower risk of a late or missed payment. Your tenants are invested in the property and are much less likely to default on their payments when they know they are in it to eventually own the home outright. In most cases, you aren’t going to have to worry about any vacancy during the life up the agreement. A savvy investor may be able to facilitate a few of these agreements on multiple properties, thus producing a very strong, somewhat passive, income for themselves.
Get The Price You Want
People who are taking advantage of your owner financing offer are going to have less room to negotiate for a lower price. In many cases, they are eager to buy, especially if they haven’t been able to in the past. As such, you will likely be able to find someone who will pay you exactly what you want for the house, even if it does take a little bit of time to collect 100% of your proceeds.
Collect More Each Month
In addition to getting the overall price you would like to receive for the property, your tenant will also likely pay you a higher than average “rent” payment each month until the agreement has completed and they buy the house outright. In some cases, a percentage of the monthly payment will go toward the down payment on the house, owners can still find themselves collecting a higher than average check each month.
Peace Of Mind
When you consider offering owner financing to prospective buyers, you’ll get the peace of mind in knowing that the people moving in are going to take care of the home. If they trash it, miss a payment, or otherwise violate the agreement, they could be out a hefty down payment along with their opportunity to purchase your home.
Offering owner financing for your house in Greater Cincinnati Area may feel risky, however it is how investors and homeowners all over the country are able to create consistent income while selling a house they’d rather not hold onto for the long term. Our team is happy to answer all of your questions and help you facilitate the process!
Reach out to us today to learn more about offering owner financing when trying to sell your house fast in Greater Cincinnati Area!
There are several ways of selling your house now because of the changes in the economy. Homeowners have now discovered that they no longer have to sell through an agent. You can now sell your own house through owner financing.
If you are new to this you would probably have questions such as: Is owner financing a good idea for the seller? How much do you have to put down for seller financing? How do you structure a seller financing deal? How do you negotiate owner financing? To better understand how the process goes you will need some owner financing tips!
When you call our hotline, you’ll be connected with our We Buy NKY Houses real estate expert who will listen to the specifics of your situation before making recommendations and answering any questions you have.