Seller Finance Set up Question

[Jared Pfaff]

Hello, I currently have 5 separate deals under seller finance. I have been told mixed information from our title company, banks, and realtors. My question is this: When proposing a seller finance deal and we come to terms, can I get a attorney to write up somewhat of a template that I can use over and over when buying? Also, should I push to have the title transferred to our business name and then have a note written that the seller holds until the property is paid off. The first deal I did was a group of three houses from a retiring landlord. He was ready to get out and I was looking for value ad property. During the negotiation process a realtor found out about him selling and insisted that he had to be involved to protect both of us and we also needed to hire his attorney to write up the paperwork. Through this whole process we both split the cost of the charges and the seller then had to also pay for the sewer line to be replaced on one of the houses. The seller felt like all most of his profit was sent paying others hands in the cookie jar. However, both of us wanted to be protected in case something happened to either of us. He ended up keeping his name on the title until I have him paid off. The next deal I did with another home owner I decided to go online and pay of and print of a land contract with all the terms, payment info, and house description. We planned to spit the $90 cost and the homeowner was good with that. Before closing on that property I had a purchase agreement on another property in which I was dealing with a realtor/lawyer. I asked him if he thought I was ok going that route. He said I need to have him type of a formal purchase agreement and he would rewrite the terms, costing each of us $1,500 for his services at closing. He also stated I needed to get the title in our business name in case he every went to the hospital, nursing home, etc. and they wanted to come after his assets and his name would still be on the house. I agreed and we paid him. After reading the contract we paid $3,000 for total, I noticed it was just a template and the title company did the rest Do you feel I should always push to get the title in our name, and the owner hold the note until payoff? Do I always need a realtor/lawyer to get their hands in the deal also? I am getting ready to purchase two more homes, seller financed, from the 1st guy and I want to propose a cheaper route for him so his is more willing to work with me in the future. I look forward to hearing your comments! Thanks!