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Updated almost 13 years ago on . Most recent reply

Account Closed
  • Specialist
  • Grand Forks, ND
0
Votes |
4
Posts

Seller financing a seller financed property

Account Closed
  • Specialist
  • Grand Forks, ND
Posted

Thanks to everyone who reads and responds to this post. I am a new investor. Currently, I own one triplex that I spent all my money buying and rehabbing. While the cash flow is great, I don't want to wait any longer to invest in more real estate. This has driven me to take a close look at seller financing and I’m intrigued by the benefits it offers to buyers and sellers.

While looking around my market for sellers who may offer financing, I noticed there are exponentially more buyers looking to get into a seller financed home. That’s when I got the idea I’d like to bounce off of the Bigger Pockets community: How can I structure a deal where I purchase a seller financed property (a property that wasn’t advertised as such) with an assumable note, and then turn around and sell the note to a would-be homeowner for a nice little profit?

Another possibility may be to keep paying on the original note and create a new note for my buyer that would give me a couple point spread on the payments. Please share your thoughts on these ideas. Has anyone ever done this before? Are there other similar tactics I should consider? Is there a fatal flaw in this premise? I want to find some way to meet this demand for seller financed homes.

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