How to advertise a house to sell using owner finance

[Mike Stahlman]

Hi, we have acquired three properties in the past 4 months.  We just closed on a house in Berkeley and we found out today the area/subdivision has an ordinance stating not over 30% of the homes can be rented. Sense it was our intent to rent this house, and the subdivision is already over rented, now we can only resell or owner occupy this house.  So I need to start looking in to selling with owner finance strategy.  Since the house is paid for with cash, what is the best way to sell and carry the note?  The house would market well in the mid to high 50s.  

Should we Market the house through a realtor, or FSBO, and how should we structure the deal to a potential buyer? How can we vet a buyer? Same person that vets a rent? We would like to get a down payment and monthly payments for 5-10 years. Should / can we charge interest? Can we structure a no interest loan for more than the house is worth? Any help or ideas would be appreciated.

Thank you, 

Mike