Seller Financing With A Relative- Mother
I want to buy my mothers home. She only owes 40 thou on a $110,000. She does not need the money now as she has moved in with a new hubby and they are set for money. My sister and I were thinking of buying while she still held the mortgage. Wondering where to begin.
Thanks
are buying it as a residence or a rental property?
BAMZ
[addsig]
Did you want to cash your mom out or did you just want to set up a formal process to acquire seller financing?
There are lenders who will allow you to finance the property rather easily. You can get a good gift of equity from her as a down payment and then acquire conventional financing. The question is as stated above will the property be owner occupied or rental?
You can have per pay closings costs by increasing the property loan accordingly. Since the loan is a small one, you might have to pay a small origination fee of $1,000+/- if you go trough a broker or lender.
Phil