99. Can I Do Owner Financing In Richfield MN If I Have A Mortgage On The Property?

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We Buy Houses in Richfield MN. Do you have a house to sell? Perhaps you’re considering selling with owner financing. But if you have a mortgage on your house, you might be wondering, “Can I do owner financing in MN if I have a mortgage on the property?” Here at FastPath Home Buyers, we get this question a lot. So we decided to answer it in this blog post…


You have options

We Buy Houses in South Saint Louis

Homeowners who are thinking about selling have several options. They can list their home through an agent, list themselves, or they can sell directly to a cash buyer. However, many homeowners are discovering an alternate strategy called “owner financing” or “seller financing”. This methods allows home sellers to sell their houses to a buyer and collect regular payments:

  1. The buyer pays a down payment
  2. The buyer pays regular monthly payments
  3. When the agreed-upon price is paid, the title reverts to the buyer

Many homeowners love this option because it’s a great way to expand ones buyer base – by including those who might not have been able to get traditional bank financing. Home buyers also love it because it means they won’t have to worry about paying the full amount upfront, or applying for a mortgage loan.


If you own your house outright, you can do a seller financing agreement. But what happens if you have a mortgage? Maybe you’re wondering, “Can I do owner financing in MN if I have a mortgage on the property?

The short answer is: it’s complicated.

Seller financing with a mortgage

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In some states, you can create something called a “wraparound mortgage”. This is when you extend a mortgage to a buyer (usually at a higher rate of interest) while still paying your own mortgage to the bank. However, this is not legal in all states and all situations, and there are additional clauses that you should be aware of.


Can I Do Owner Financing if I Have a Mortgage on the Property? – You have choices


If you’re unable to sell with seller financing because of a mortgage, you have other options…

If you are thinking about accepting owner financing but you still have a mortgage on your property, here’s another option for you: Get in touch with us and talk to us about your property. As experts in buying and selling real estate, we are aware of a number of options that you might not know about. We can walk you through those options. In addition, we can also buy your house directly.

Get in touch with us today by clicking here to fill out the form or by calling us at (612) 351-2384.