Owner Financing - First Time Advice

[John Homich]

I'm looking at a portfolio of properties owned by one person who is looking to sell. They range from 4 - 6 units. He is offering owner financing. This all preliminary as I don't have any additional information until next week when we visit the properties and review the numbers. I do own a rental (6 unit) today and used a traditional bank mortgage. Owner financing is new to me.

What should I expect and look for? How do they compare to a bank loan? Pro and cons? Should also mention that I have a partner and we both have excellent credit and getting a loan shouldn't be a problem.

I will try to give updates as a learning discussion for others.

Thanks and looking forward to all input and questions.