If you’re thinking about buying a home, you may have heard of the terms “seller financing” or “owner financing” and you’re not sure what they mean. In this blog post we’ll answer what exactly is owner financing and how you can use it in Charlotte as another option to buy your next home…
Buying a house can be a new and exciting step in life when you move from a rented house or a larger house to fit your growing life. It is a moment full of possibilities and dreams when you look from one house to another and you see yourself living there. But the only question a potential buyer has is, how will they pay it?
Most people have heard about bank finances, where they get a mortgage from a bank or mortgage lender and pay over time. But there is also seller financing (also called “owner financing”) that you can also obtain. So maybe you’re wondering,
“what exactly is owner financing and how you can use it in Charlotte ?”
What Exactly Is Owner Financing And How You Can Use It In Charlotte ?
What Is Owner Financing?
Owner financing is when you skip going to the bank to get a mortgage and instead the owner/seller of the house acts as the bank. In other words, you still pay a monthly payment but instead of making it a mortgage payment to the bank, you pay the lender.
It is very similar to a loan from one individual to another, but instead of getting a large amount of money in advance, the owner makes you stay at home. You pay the homeowner month after month, and eventually you will pay the house and have it directly.
How Can You Use It?
You can use owner financing to acquire a house in Charlotte . When you find a house you want to buy, you simply go to the owner and ask them if they’d consider owner financing instead of waiting for you to see if you can get bank financing.
Owner financing is surprisingly common and used in a number of different ways – from first time homeowners with bad credit, to real estate investors who cannot or do not want to use their own credit to acquire an investment property.
Summary
Owner financing can be a safe, simple and simple way to buy your next property without having to go to the bank and see if they lend it to you. Owner financing has advantages and disadvantages, so be sure to explore this opportunity further.
Another way to potentially get owner financing is to talk to us. We have properties that we sell using owner financing and we’ll be happy to show you how it works. You don’t need great credit to get your next property from us.