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Updated about 10 years ago,
seller financing- promissory note
Hello all,
I recently closed my first wholesale deal and have a few other deals in the works.
I will be closing on a deal next week on a property for 55k. It needs about 15k in work and has an ARV of 110k. I am paying 25k cash for the property at closing and the owner is holding a note for 30k. This amount will be a note between the seller and I, and I will want to refinance right away but I do not want our note to show as a first lien. I plan on having an attorney draft the note. Can I have a note drawn up with the property as collateral without it showing as a first lien? Also, if the owner trust me, and he does, would I be better off just doing an unsecured notarized promissory note?