RE attorneys that draft owner financing mortgages

[Abby H.]

Hey everybody! 

I am reaching out to get connected to some attorneys in Florida (preferably in the Orlando area) specifically who have experience drafting mortgages for owner financing deals. I am working with a seller who is open to owner financing and want to get her connected to an attorney! 

Thank you in advance!

Abby Hosey

[Nathan Gesner]

Setting up owner financing involves structuring an agreement where the property seller acts as the lender, allowing the buyer to make payments directly to them instead of obtaining a traditional mortgage. Make sure both parties agree on the terms of the sale, including the purchase price, down payment, interest rate, length of the loan, prepayment rules, balloon payment, etc.

Next, the seller should evaluate the buyer's financial situation, including their creditworthiness, income, and ability to make payments. 

After agreeing on the terms, both parties formalize the agreement with a written contract. I recommend both parties have their own representation to ensure someone is watching out for their best interests and complying with the law. A REALTOR can do this, but you should only use a REALTOR that has experience. Most do not.

An attorney will draft a promissory note and a mortgage. The promissory note outlines the buyer's promise to repay the loan under the agreed terms. The mortgage serves as collateral, giving the seller the right to reclaim the property in case of default. 

The seller may want to establish a servicing arrangement for the loan, either by managing payments themselves or by hiring a loan servicing company. A servicing company can handle the administrative aspects of the loan, including collecting payments, disbursing funds, and managing escrow accounts for taxes and insurance. This can simplify the process and ensure the loan is managed professionally.

This is a very basic overview. Any attorney should know how to do this, but its ideal to find someone with more experience and good reviews.