Need some suggestions on how to craft this deal. It is a 2.15 acre tract with 2 existing SFRs on it. I am planning to subdivide the property into 3 lots. BRRR one SFR, demo the other one and build houses on the 2 new lots. I am asking for owner financing, but want to be able to own the 2 new lots free and clear so that I can use them as collateral on the construction loan. How should I suggest the structure of the owner financing to make the seller comfortable? My first thought was to tie the financing to the home I am BRRRing, but then if I were to default, essentially, I would get to keep the vacant lots.....so not a good idea for the seller. Any thoughts out there???
