Something for nothing.
In my on going quest to learn about this new world of REI, I have been trying to flex my muscles in the brain to understand the ways in which everyone else is successful.
When speaking about doing seller finance deals, I was thinking of ways to try and get the most out of the deal.
My first question is what are typical interest rates one would be paying out to the seller in such transaction? It seems like it would be higher than a typical bank interest rate. Since, from a sellers mind if they (the buyer) were able to just go to a bank and get a loan they would but since they can't, now I (the seller) have the upper hand in the deal.
Second, if I am the buyer in a seller finance loan, am I able to then turn around and rent that property through a property management group? Seems like there would be a lot of money exchanges time rent is due. Tenant >> Property Management >> Me (Owner) >> Seller.
Third, since this whole transaction isn't through a typical bank, is it possible the original seller can come back and want the house back and possibly tie you up in court proceedings about who "owns" the home?
Any feed back would be great. Thanks for the help all.