Seller willing to do wrap on a duplex...new to wraps...help?

[Tysson Dykes]

Here is what I know so far.

Duplex asking price is $335K...identical one next door owned by same owner just recently closed for the same and appraised fine.

Rented at $1935 monthly total, rents are low and have room to go up.

Listed with an agent. I have been keeping in touch with both for awhile now and they both seem to be open to seller financing. The topic brought up was the seller would be willing to do a wrap. Seller purchased in 2019 for 190K with a conventional mortgage and did renovations to get it to current value and by all accounts seems to have done a good job there.

My problem now is I have never done a wrap and do not know where to start. The agent is asking me if I would be willing to write something up to present. I bought myself some time by them doing some homework digging up additional details but in the interim I could really use some help on how to approach this, and even if it makes sense to do in the first place.

My goals here, correct me if I am way off base. Get into the units as light as I can, try to get a min of a five year term before the refi balloon comes due. Agent thinks seller will want to come up on the price a bit for doing the seller financing aspect which could work in my favor.

Terms I would like to present. 5 ( preferably 7 year term ), 2.5% down ( to cover his agents commission ), 2 years principal only payments then the remaining 3 years at 4% interest. In my head somehow this pencils out but my brain is all over the place at the moment since this is all new to me. 

Can someone offer some insight and get me off the ledge LOL. Also I do not even know what formwork or contracts i would even use here assuming this is viable to begin with...

[Kyle Tusing]

seems like a viable plan, although I do not have all the details on the property or the deal itself. But based on what I see here you have a good plan and path you are creating. One tip I have to get an offer accepted is to use multiple offers. All offers can be seller financing options, or if you are open to it one could be a hard money/private equity funded option. I would recommend a similar offer to you have an above 7-year term with 2.5% down. Then another offer with more money down and possibly a longer term. Then a final offer with the overall purchase price being higher but a downpayment at 2.5% and longer terms possibly 10 years. As far as contracts I would find an investor-friendly agent that can help you best with your local contracts. Personally, I have had friends use AI (Chat GPT) to build out contracts, however I want to make it clear I am not advising this due to the risk associated with errors in a legally biniding contract.