The Problem

When it comes to selling real estate, one of the most difficult and
frustrating situations for sellers is when market conditions make it
nearly impossible to sell at the desired price point. A high initial
listing price might be because the seller simply has an unrealistic
idea of how their house stacks up against the competition in the area,
or because the owner needs to sell for a set minimum price in order to
pay off their loan against the property.

With traditional property sales methods, the only way to prevent the
property from sitting on the market indefinitely is to keep dropping
the price. Unfortunately, this technique doesn't always work -
especially if the seller is unwilling to "discount" their house by
much.

In areas flooded with homes for sale, reducing the asking price
slightly will not bring the desired result. In fact, it's common that
the property will continue to sit on the market without offers,
alongside the multitude of other unsold properties with similarly
reduced prices.

Anyone experienced in sales understands that making your product stand
out from the crowd is a critical technique for success. But if there's
too much competition offering the same attributes, the only logical
way to attract the attention of serious buyers is to drop the price so
that your property is a much better value than the competition.

In cases where the seller is too inflexible with their asking price,
this is not a practical solution. Without an alternative strategy, the
seller is forced to keep the house on the market for an extended
period of time with an unrealistic asking price, hoping for the right
buyer to come along. And as you know, that "Mr./Mrs. Right" might
NEVER materialize!

The Seller Finance Solution

Property sellers who want to both obtain their desired price and close
on the deal quickly should consider seller financing. Seller financing
is a powerful tool to remedy real estate situations that otherwise
look grim.

Many home sellers (and their real estate agents) do not see seller
financing as a viable option. In actuality, seller financing can bring
new attention to the listing and invite a different group of potential
buyers - thereby opening up a unique, untapped market.

A large percentage of people throughout the country cannot get
approved for bank funding to buy real estate because of their credit
situation. Many of these people are still in the market to buy a
house, however. The "credit-challenged" are often frustrated with the
limitations of apartment living or being renters; as a result, many
are willing to pay a higher price just for a chance to get seller
financing and improve their quality of life.

A savvy property seller who recognizes this opportunity can salvage an
unfavorable situation and turn it into a bonafide seller's market. By
using this type of creative financing, the seller could actually end
up getting more than the original asking price - without resorting to
the questionable strategy of patiently waiting for the "right buyer".

Seller finance can enable homeowners to receive a favorable selling
price despite bad market conditions. In addition, the real estate
agent (if any) gets to close a deal and move on to other sales, while
a home buyer with poor credit is able to become a home owner. It's one
of those rare situations where everyone at the negotiating table gets
what they want.

Paper Tigers

Many home sellers never consider seller financing because they don't
understand the benefits. There are also common misconceptions that
it's much too complicated to attempt to orchestrate a seller financed
deal, or that there are no buyers willing to sign a private note.

Once a property seller takes the time to learn about the basic
process, the advantages of offering financing instead of a lower price
to sell their property become very clear. Plus, a little education
about seller finance will make it apparent that drafting a secured
private note is actually a very straightforward process.

The bottom line is seller financing can enable a home owner to "have
their cake and eat it too" - i.e., sell at the desired price, close
the deal quickly, and even receive additional income from interest
payments as well.

You may even be able to sell the mortgage note you create and get the
cash you were originally looking for. If you're thinking of using
seller financing for the sale of your property, you should contact a
note service to learn what attributes the people who buy notes are
looking for. This way you can create a note the will have a better
resale value, and ultimately bring you the most money.

Fyamashita, It's not just Hawaii where seller financing is not that popular. Most poeple don't understand the seller financing concept. Homeowners and profesionals alike. Many think it's a difficult undertaking, or that they need to have deep knowlege about selling real estate. Many Real estate agents still think seller financing will eliminate thier position and commission (FSBO and seller financing, Not the same thing!!). All of which is not neccesarily true, and bringing the idea of seller financing to light can help more homeowners and professionals sell more property. Especially in tough economic times.
One of the things that resolves your question about being STUCK with a mortgage that could possibly default, is the ability for the new note holder to sell off their mortgage note after is creation. They can cash out the monthly payments they are scheduled to recieve for a lump sum payment, eliminating all their future worry of default.
Like I mentioned in the original post, they should always contact a Note Service to find out what kind of things note buyers look for. This way when they create thier mortgage note they can incorporate the best attributes that will make their note more atttractive to the buyer. This is highly beneficial two ways. 1) They will have the best chance of completing a note sale. 2) They will be able to get the Most out of their note sale.
To find out more about the Note Business take a look at my website and sign up for the free articles. I'd be happy to answer any questions you have about Note Services and proceedures.

My name is MICHAEL ROCCO and I’m a FHA Mortgage Consultant.

By now I’m sure many of you have heard of the SUB-PRIME MORTGAGE CRISIS. Many homeowners like yourself are trapped in adjustable rate mortgages. These adjustable rates go UP and make it harder than ever for you to afford your payment. On top of it we are seeing FALLING HOME VALUES across the country.

This leads to 2 major problems:

1) You may have fallen behind on your payment which gives you a low credit score and a poor mortgage history

2) Falling home values means you have a very high loan to value



-----------THE GOOD NEWS IS I CAN HELP YOU –



(631) 756-8769 or E-mail – michael.rocco@sterlingnational.com






An FHA Mortgage is Insured / Backed by The United States Government. Because of this Government Insurance lenders like myself our able to give YOU a LOW, FIXED Interest rate even if your credit is poor.

That means you can get a LOW and FIXED rate around 7% - currently between 6.5 – 7%

EVEN if you score is 580 and in some case even as low as 530

Our GOVERNMENT is trying to HELP you REFINANCE









--Fully Charted and Licensed in ALL States



--Our Company was founded in 1929, we have been a Direct Lender for 80 years now



Even if your score is 530 you can still be approved



Even if you have 3 LATES on your mortgage



--The Interest Rate is currently a 6.5 – 7% FIXED



--NEVER a Pre-Payment Penalty



--We can go UP to a 97.75% LOAN TO VALUE – So even if you have little equity in your house you can still be approved



The Government WAIVES many of the Closing Costs normally associated with refinancing:

---NO Attorney Fees

---NO Application Fees

---NO Processing Fees

---NO Underwriting Fees

---NO Wire Transfer Fees

---NO Paperwork Fees and Etc.



You can use our Government Mortgage Program to:

--Lower your payment

--Payoff high interest debt (Credit cards)

--Get Cash in hand for any reason (Home Improvement)

--Convert Your Adjustable Rate into a FIXED (Interest Rates are on the rise)



This is also the ONLY mortgage which has ASSUMABLITY - which means you can sell your property and have the new buyer ASSUME the mortgage and the fixed rate



There is also a streamline feature – Which allows you to refinance in the future at virtually no cost



“The United States Government is attempting to prevent future foreclosures. Currently 1 in every 25 sub-prime borrowers are headed into foreclosure. People are in adjustable rate mortgages that have now went UP and they can NO longer afford the payments" – Mortgage News, 1/12/2008



NOW is the time to let the Government help you get into a FIXED rate and payment you and your family will ALWAYS be able to afford.



I can APPROVE you on the same phone call within 10-15 minutes of your time.



Please have all of your income information ready and tell me how many 30 day mortgage lates you have had in the last 12 months.



Thank you, I very much look forward to approving you.



Michael Rocco

FHA Mortgage Consultant





(631) 756-8769 LEAVE A MESSAGE





E-mail - michael.rocco@sterlingnational.com



-EQUAL HOUSING LENDER-

Seller Financing is not popular in Hawaii. It does possibly solve some sellers issues, but not many people like to be stuck with an outstanding loan and hoping it won't default. Any sugesstions?