Seller financing, also known as owner financing or seller carryback, is a real estate transaction in which the seller provides financing to the buyer instead of the buyer obtaining a mortgage from a bank or other traditional lender. In this type of transaction, the seller becomes the lender and agrees to finance all or part of the purchase price of the property.
Pros of Seller Financing:
Cons of Seller Financing:
It's important to note that seller financing is not for everyone and each transaction should be evaluated on a case-by-case basis. Buyers and sellers should consider all of the pros and cons and seek the advice of professionals such as real estate attorneys and tax advisors before entering into a seller financing arrangement.
Leave a Reply.
Real estate agent & broker-associate.