My First Deal - Seller Financing - Pros and Cons?

[Terri O'Brien]

I am a newbie investor who is going to be investing out of state. I live in Denver, Colorado, and investing here is not an option for me. I have a $50,000 HELOC and I am looking for my first investment. I am looking a duplex priced at $72,000. The numbers are currently $195 for monthly cash flow (but I am unsure what I can get for the second unit) and a 6% ROI if owner finances (she wants 50% down) and 10% ROI if a put 25% down and go with a bank loan. What are the advantages of going with owner financing?

Any advice would be greatly appreciated.