We Buy houses in Bloomington MN. With the changes to the economy that have been seen in recent years, many local homeowners are starting to discover that there are new ways to sell their houses fast for cash. You no longer have to sell through an agent. These days, you can now sell on your own or to a reputable cash home buyer company such as our very own, FastPath Home Buyers.
If you’re wondering how to sell a house through owner financing in MN , keep reading this blog post. We’ll walk you through the process step-by-step…
Step 1. Determine whether you own the house outright or you have a mortgage
In some states, if you have a mortgage, you may not be able to offer owner financing. So the first step is to determine whether you have a mortgage or not.
Step 2. Talk to a real estate attorney for help in crafting an agreement
Through owner-financing, you will essentially be acting like the bank. In this arrangement, the buyer will pay you a down payment, and then pay you regular monthly payments until the house has been fully paid off. Once this is done, the house will then officially become their property.
Before you proceed with this arrangement, it is important to make sure you talk to a real estate attorney. You must ensure that you are protected and obeying all federal, local, and state laws! (If you need the name of a good real estate attorney, get in touch with us. We can make an introduction.)
Step 3. Market your house online and offline
Once your paperwork is in place, the next step is to advertise that you have a house for sale. Be sure to let people know that you offer seller financing. When marketing, there is no limit to how much work you should do – the more you can do, the better.
Step 4. Work with potential buyers
As your marketing captures the attention of potential buyers, you’ll want to begin organizing showings and scheduling open houses. In this step, it is very important to work with your buyers and coordinate showing times that are good for both them and you. When someone makes an offer on your house, negotiate a good price and fair terms. When doing this, you’ll want to find the middle ground that will ensure a win/win situation for both you and your buyer. Once you and your buyer have come to an agreement, it will now be the time to sign the paperwork.
Step 5. Collect the down payment and hand over the keys
Once you’ve agree on a price and you’ve signed the papers, collect the down payment and hand over the keys. In most situations, you will continue to own the house and collect payments until the house is paid off… then ownership will be transferred to your buyer.