All Forum Posts by: Stephanie Medellin

You do not need an MLO to originate a seller financed loan unless they are financing multiple properties during the year. Have an attorney prepare your purchase offer / contract and the deed of trust or mortgage, and make sure you're satisfied with the terms. Preparing these documents is not something a mortgage broker or loan officer does.

Yes, you get the deed at closing and the seller will get a lien on the property. I'm not sure of the proper names in PA, but when the loan is paid off (refinanced or otherwise), a deed of reconveyance should be filed with the county as evidence that your loan has been paid off.

Wow, I'm sorry to hear something like that happened to you. Hopefully your entire agreement was in writing and can be documented. You have tried to amicably and reasonably resolve this issue, but it doesn't seem to be working. I also don't agree that you should have to pay fees on money that was never given to you.

In the future, I would absolutely recommend using an escrow company to hold the funds (ALL of the funds, at closing). In my experience, when a loan funds, the entire amount is deposited in escrow. The lender never holds the funds! Of course, this is California and every state is different.

For now, I would contact a real estate attorney for advice specific to your contract and your state.