seller financing with an existing mortgage

[Kevin Hart]

hey BP'ers, 

i have an off-market deal that i am trying to buy. I'm trying to avoid spending all my cash on a down payment. the seller would be interested in seller financing but he still has a mortgage on the property. the sellers owes about 130k, selling property for 265k. any creative ideas on how to structure seller financing when there is a mortgage present? 

im not sure whats possible without having the "due on sale" clause impacted. thoughts?

[Greg Downey]

@Kevin Hart, this gets tricky. Two thoughts here in addition to @Kelly DeWinter's idea of the lease option deal.  

1. Is his current loan assumable?

2. If not, then get a loan in your name with a lender that will allow a full seller second for the down payment portion of the capital stack.  This isn't common for a lender to allow. The only way that I have seen this executed is on a bridge loan.....