Seller willing to loan the 20% as second mortgage

[Doug Emerson]

I've taken BiggerPocket's podcast advise to offer value before asking for value... by volunteering to be the newsletter editor for my local Landlord club has instantly put me in the spot light.  Through this, I've met every active member of the club.  I've had two different landlords approach me regarding their desire to retire in the next couple of years from landlording.  They mentioned the idea of 'carrying paper' for the 20% down requirement of my bank.

So I would borrow 80% from my community bank and 20% from the seller.  I talked with my bank and they have loaned in situations like this before and are willing to work with us. 

So now my questions!  : )  What the pros and cons, recommendations, any articles or blogs I can read... what should I do?

How does this work as far as timing?  I need that 20% when I close from the seller to give to the bank, but I won't have title yet to secure the 2nd mortgage for the seller?  Does my question make sense?  How many questions can I ask?  lol

I'm not a complete newbie to landlording, I have 10 properties which is 14 rental units.  I'm just new to the idea of the seller financing 20%.  Looking for your thoughts, thanks!!

Doug Emerson