What happens if Seller dies before Owner financing term ends

[Hoa Nguyen]

Hey everyone! Have a hypothetical question that came to mind. I am currently negotiating an owner-financing deal with a seller who is in their early 70s. My question is what happens if this said seller passes away? The mortgage agreement would be filed officially with the county. Does the inheritor inherit the agreement? 

[Rick Pozos]

When the seller tells me that they are 60 or 70 or however many years old, I tell them that it is a great way to give money to their heirs. They do not leave a lump sum of 100k or 150k, they leave 950/mo for the next XX years. The heirs will not blow the 150k on a new car and be flat broke again. This 1k per month or 500 per month if split between 2 kids is a reminder of their lost parent every month for the next 25 years and how they left them something that they can spend.