Seller financing, how to know if it is a good deal?

[Colton Kotylo]

I am trying to purchase a triplex using seller financing. This will be my first home purchase and I am unsure what terms I should propose and how to calculate the deal to see if the numbers will work for this property. The property is currently being rented out with two of the three in a long term contract and the third paying month to month. Who would be the best person to talk to in this situation?

[Nathan Adams]

I've purchased 4 properties with seller financing so far and it's the best way to acquire properties (IMO). You still need to correctly analyze the property based on comps...And make sure that you're getting a good deal. Your money is made when you buy the property in a lot of cases. So always carefully analyze. Use calculators here and other online spreadsheets.

You can negotiate your interest rate, term (length of loan) and down payment -- Which can all be extremely advantageous in the current economic environment. The other great thing about seller financing is no loan points or fees from lenders...Saves thousands of dollars on the purchase. Use a solid RE lawyer for your purchase.