Why This Combo is Your New Best Friend • Cut out two middlemen: the realtor AND the bank • Set your own terms, your own price, your own rules • Attract buyers traditional methods miss
The FSBO + Owner Financing Playbook
- Know Your Numbers Cold • Current market value – get an appraisal, pull comps • Your bottom line – factor in future interest • Monthly payments you need – this is your new income stream
- Structure Your Deal • Interest rate – make it attractive but profitable • Down payment – bigger is safer, smaller casts a wider net • Loan term – 15, 20, 30 years? Your call • Balloon payment? Decide if you want a lump sum later
- Vet Your Buyers Like a Boss • Credit check – not perfect? That’s why they’re here • Income verification – they need to afford it, or you’re both screwed • Down payment source – make sure it’s legit
- Marketing That Speaks to Your Buyers • Highlight owner financing in all ads • Spell out the benefits – easier qualification, flexible terms • Target self-employed, credit-challenged buyers
- The Showing: More Than Just a Tour • Explain owner financing benefits in person • Be ready to talk numbers – have examples prepared • Gauge their seriousness – tire-kickers waste your time
- Negotiation: It’s All You • Be flexible on terms, firm on total value • Use down payment and interest rate as leverage • Don’t be afraid to walk away – desperation is not your friend
- Paperwork: Get It Right or Pay Later • Promissory note – spell out all terms • Deed of trust or mortgage – secure your interest • Consider a “due on sale” clause • GET A LAWYER. Seriously. DIY is great until it’s not.
- Closing: The Devil’s in the Details • Use a title company – protect yourself • Explain all documents to the buyer – transparency is key • Have a backup plan if they default – hope for the best, plan for the worst
- After the Sale: Stay on Top of It • Set up a payment system – make it easy for them to pay • Keep impeccable records – you’re the bank now • Stay in touch – catch problems early
Have more specific questions or would you like an offer on your property? We would be honored to provide you with one, free and with no obligation via our home page or give us a call anytime.
The Bottom Line: FSBO + owner financing isn’t for amateurs. But you’re not an amateur, are you? You’re here to maximize profits and maintain control. This strategy lets you do both.
Remember, you’re not just selling a house – you’re selling an investment. Do it right with professionals, and you’ll have years of steady income. Do it wrong, and… well, let’s not go there.
Ready to be the boss of your own sale AND be the bank? Grab our toolkit, follow this guide, and get ready to sell on your terms.
Questions? Concerns? Need to brainstorm? Give us a call. We’re here to help you get what you are looking for on this transaction.