Creating A Downpayment Paper Trail For A Note Buyer
Ok, here it is: I purchased a foreclosure for 60k, I have a contract on it for 109k with 7k down. Owner financed note which I'm selling at closing. The buyer didn't have cash but was selling a 1994 H.D. motorcycle that I took in trade. The challenge I am having is the note buyer (since this is my first deal) won't except the motorcycle trade as a valid downpayment. He wants to see a certified bank check or a bank statement from the buyer. The closing process is held up by this one issue. Anyone have a valid, legal solution to this challange? Without selling the bike.
Thanks in advance.
After the fact it's pretty hard to create a paper trail.
Are you will to cough up the cash value of the bike to make the not buyer comfortable.
So buy the bike for cash, put it in a bank account in your buyers name. Have the bank write a certified check from the account for the downpayment.
Hey, Thanks.
Already thought of that but I don't have the money either. But just to let ya'll know....I got it figured out. I found a Downpayment Assistance program (downpayment grant money) that will work with owner financed sellers as long as you sell the note at closing to pay the fee. The fee is relatively small. There are others out there that will work with owner financing but want to charge a whole lot more.
I appreciate your replies. For those investors that do owner financed deals, this is a great foundation to work with. There is little requirements, no set %, not based on appraisel, etc. For those of you interested in knowing the contact info, private message me for the info.
***Disclaimer*** I do not work for this foundation, nor am affiliated with it in anyway. Nor do I get refferal kick backs. Just passing on great info to help other investors to close on deals faster. Thanks!