Comments on: Seller’s Risks with Owner Financing http://owner-financing.com Owner Financing Primer Sat, 10 Sep 2011 15:04:55 -0400 http://wordpress.org/?v=2.8.4 hourly 1 By: admin http://owner-financing.com/sellers-risks-with-owner-financing/comment-page-3#comment-1444 admin Mon, 15 Aug 2011 01:05:43 +0000 http://owner-financing.com/wp/?page_id=14#comment-1444 You are being to nice. In real estate it doesn't count unless it is in writing. Getting your property back will require you to carefully follow all the "Due Process" set out by the statutes in your area. There are rules about how notice must be given, making sure you have proof of service, how much time the other party has to respond, etc. It's time to "Lawyer up". Find an attorney with an active foreclosure practice, not a friends nephew or someone you just happen to know about. This is NOT something you should attempt yourself no matter what your contract says. You are being to nice. In real estate it doesn’t count unless it is in writing. Getting your property back will require you to carefully follow all the “Due Process” set out by the statutes in your area. There are rules about how notice must be given, making sure you have proof of service, how much time the other party has to respond, etc. It’s time to “Lawyer up”. Find an attorney with an active foreclosure practice, not a friends nephew or someone you just happen to know about. This is NOT something you should attempt yourself no matter what your contract says.

]]> By: mary locke http://owner-financing.com/sellers-risks-with-owner-financing/comment-page-2#comment-1443 mary locke Mon, 15 Aug 2011 00:01:27 +0000 http://owner-financing.com/wp/?page_id=14#comment-1443 I am selling my home and acreage under owner finance. I don't owe anything on this property. My buyers have not made a payment in 3 months and a payment on premium as agreed in contract. I need to I have given buyer (not in Writing, but text) notice he has until end of Aug. to get caught up or I will recall the loan, as stated in the contract that I have the right. I need advice on this predicament. He has been late every month since purchase and had 2 insufficient funds costing me a service charge for rerun of checks, now I require payment to be made in cashiers checks. I want to recall this loan. Please advise. Thank You I am selling my home and acreage under owner finance. I don’t owe anything on this property. My buyers have not made a payment in 3 months and a payment on premium as agreed in contract. I need to I have given buyer (not in Writing, but text) notice he has until end of Aug. to get caught up or I will recall the loan, as stated in the contract that I have the right. I need advice on this predicament. He has been late every month since purchase and had 2 insufficient funds costing me a service charge for rerun of checks, now I require payment to be made in cashiers checks. I want to recall this loan. Please advise. Thank You

]]> By: admin http://owner-financing.com/sellers-risks-with-owner-financing/comment-page-2#comment-1435 admin Thu, 11 Aug 2011 18:40:59 +0000 http://owner-financing.com/wp/?page_id=14#comment-1435 I can make suggestions about creative ways to improve deals before they are done. I can suggest things to be concerned about before your attorney drafts the actual documents. In this case, where there is a series of events that have already happened I can't offer anything. You need to contact an experienced local attorney and decide what the best outcome of this problem would be and how you can get to that point. A favorable solution will depend on a combination of what is legal and what can be negotiated. Good luck I can make suggestions about creative ways to improve deals before they are done. I can suggest things to be concerned about before your attorney drafts the actual documents. In this case, where there is a series of events that have already happened I can’t offer anything. You need to contact an experienced local attorney and decide what the best outcome of this problem would be and how you can get to that point. A favorable solution will depend on a combination of what is legal and what can be negotiated. Good luck

]]> By: Sherry Woitowitz http://owner-financing.com/sellers-risks-with-owner-financing/comment-page-2#comment-1416 Sherry Woitowitz Fri, 05 Aug 2011 11:38:43 +0000 http://owner-financing.com/wp/?page_id=14#comment-1416 My husband and I bought a business property, seller financed, due to City and RR shut down the only alley with access to our parking lot, we were forced to relocate the business. The seller claimed to have a financial interest in the property and met with city officials, without our knowledge or permission to determine if the city's action would cause harm to the property. We defaulted on the mortgage 4 months after relocating. Seller foreclosed and after auction at the courthouse steps, seller "bought" property themselves for 1 year back taxes owed. They own the property, now they seeking $80K from us, claiming they paid themselves $75K for the property and we must pay the shortfall of the sale. Can an owner finance seller retain ownership of the property and also claim additional funds from buyer? or would this be a form of fraud? My husband and I bought a business property, seller financed, due to City and RR shut down the only alley with access to our parking lot, we were forced to relocate the business. The seller claimed to have a financial interest in the property and met with city officials, without our knowledge or permission to determine if the city’s action would cause harm to the property. We defaulted on the mortgage 4 months after relocating. Seller foreclosed and after auction at the courthouse steps, seller “bought” property themselves for 1 year back taxes owed. They own the property, now they seeking $80K from us, claiming they paid themselves $75K for the property and we must pay the shortfall of the sale. Can an owner finance seller retain ownership of the property and also claim additional funds from buyer? or would this be a form of fraud?

]]> By: admin http://owner-financing.com/sellers-risks-with-owner-financing/comment-page-2#comment-1383 admin Tue, 26 Jul 2011 16:55:34 +0000 http://owner-financing.com/wp/?page_id=14#comment-1383 No. You need local expert help. The rules and requirements for foreclosure are different in different states. There are also local variations in how things are done. In some parts of the country title companies are important. In others lawyers do the title work. You need someone who has experience doing these. Do you have any local people you can call for recommendations? By that I mean experienced real estate investors, rental property managers, NOT their son, nephew, etc. You need to be represented by someone who is actually in court on foreclosure/evictions several times a week. You may also want to talk with a tax person to see if there are ways to net your losses against some gains to reduce the pain of this whole experience. Good luck. No. You need local expert help. The rules and requirements for foreclosure are different in different states. There are also local variations in how things are done. In some parts of the country title companies are important. In others lawyers do the title work. You need someone who has experience doing these. Do you have any local people you can call for recommendations? By that I mean experienced real estate investors, rental property managers, NOT their son, nephew, etc. You need to be represented by someone who is actually in court on foreclosure/evictions several times a week.

You may also want to talk with a tax person to see if there are ways to net your losses against some gains to reduce the pain of this whole experience.

Good luck.

]]> By: Linda http://owner-financing.com/sellers-risks-with-owner-financing/comment-page-2#comment-1380 Linda Tue, 26 Jul 2011 16:11:14 +0000 http://owner-financing.com/wp/?page_id=14#comment-1380 Reading from the above reply regarding foreclosure, I am in this situation. I have not received a payment since April 2010 on my mobile home/land lot. My note was created by the title/real estate company. I contacted the title company regarding foreclosure and they asked for $2k to get it started, my problem is that the entire mobile and lot are valued at $13k (I originally paid 65k cash and then sold it for 50k) with such a loss already I was hoping to do the foreclosure paperwork myself. Do you recommend this? Reading from the above reply regarding foreclosure, I am in this situation. I have not received a payment since April 2010 on my mobile home/land lot. My note was created by the title/real estate company. I contacted the title company regarding foreclosure and they asked for $2k to get it started, my problem is that the entire mobile and lot are valued at $13k (I originally paid 65k cash and then sold it for 50k) with such a loss already I was hoping to do the foreclosure paperwork myself. Do you recommend this?

]]> By: admin http://owner-financing.com/sellers-risks-with-owner-financing/comment-page-2#comment-1202 admin Thu, 09 Jun 2011 23:01:38 +0000 http://owner-financing.com/wp/?page_id=14#comment-1202 Foreclosure is a process and the procedural requirements for notice, etc. are defined by law. How the foreclosure is actually done is also controlled by the note and mortgage used for the sale. In other words, you need to have a knowledgeable real estate attorney draft your sales documents. Then if you get into a foreclosure situation you will know that you are as well prepared as possible from a legal standpoint. Foreclosure is a process and the procedural requirements for notice, etc. are defined by law. How the foreclosure is actually done is also controlled by the note and mortgage used for the sale. In other words, you need to have a knowledgeable real estate attorney draft your sales documents. Then if you get into a foreclosure situation you will know that you are as well prepared as possible from a legal standpoint.

]]> By: Diane Hall http://owner-financing.com/sellers-risks-with-owner-financing/comment-page-2#comment-1140 Diane Hall Wed, 25 May 2011 20:16:35 +0000 http://owner-financing.com/wp/?page_id=14#comment-1140 What is involved in foreclosing. I am selling some land and owner-financing and of course am worried that the buyers will default on their payments. Is this expensive or do I just need a real estate lawyer to write up the foreclosure papers. What is involved in foreclosing. I am selling some land and owner-financing and of course am worried that the buyers will default on their payments. Is this expensive or do I just need a real estate lawyer to write up the foreclosure papers.

]]> By: admin http://owner-financing.com/sellers-risks-with-owner-financing/comment-page-2#comment-932 admin Sun, 06 Jun 2010 23:46:27 +0000 http://owner-financing.com/wp/?page_id=14#comment-932 Assuming your papers were drafted properly and recorded you will be a secured creditor. As I recall, the buyer should have the choice of "Re-affirming" the loan, meaning they promise to continue paying. If they do that and fail to make payments you foreclose as usual. If they choose not to, you get your property back and can sell it to someone else. The problem of course it that this may take a while, a house may be getting damaged during the process, etc. Assuming your papers were drafted properly and recorded you will be a secured creditor. As I recall, the buyer should have the choice of “Re-affirming” the loan, meaning they promise to continue paying. If they do that and fail to make payments you foreclose as usual. If they choose not to, you get your property back and can sell it to someone else.

The problem of course it that this may take a while, a house may be getting damaged during the process, etc.

]]> By: marilyn elliott http://owner-financing.com/sellers-risks-with-owner-financing/comment-page-2#comment-928 marilyn elliott Fri, 04 Jun 2010 19:25:33 +0000 http://owner-financing.com/wp/?page_id=14#comment-928 what happens to me (seller) if the buyer claims bankruptsy? what happens to me (seller) if the buyer claims bankruptsy?

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