Loan Servicing for Seller Finance

[Valerie Post]

Would you be able to recommend a national or North Dakota-based loan servicing company for seller finance deals?

[Eliott Elias]

A good title company can recommend one. 

[Chris Davidson]

Use a title company with a long term escrow department and you will be good to go!

[Ben Kappel]

Quote from @Valerie Post:

Would you be able to recommend a national or North Dakota-based loan servicing company for seller finance deals?

 Can you expand on this?  

Are you financing a deal personally as a seller and looking for someone to do title work?   I would talk to The Title Team in Bismarck for that.  

Or are you the buyer in this situation wondering how to go about for a contract for deed?   I would recommend a good real estate attorney to draw that up.   Normally here if a buyer is asking for seller financing, it usually lands on them to cover the costs for an attorney to draw up the contract. 

[Valerie Post]

@Ben Kappel

Don't know how I didn't see your reply until just now! I had heard some companies, perhaps title companies, can handle and track the mortgage payments for buyers and sellers in seller financed/contract for deed transactions. Curious to know more about this! I am looking at it from a potential buyer's perspective. Thanks, Ben!

[Chris Seveney]

@Valerie Post

If it’s owner occupied then a title or escrow company cannot service the loan as they are not licensed

You will need to use someone like a madison management, FCI or snsc to name a few

Reason is owner occupied must comply with Dodd frank and send monthly statements (unless you don’t want to earn interest), language must be specific on statement to comply as well as end of year statements.

[Valerie Post]

Thank you @Chris Seveney! This is not owner occupied.

[Chris Seveney]

@Valerie Post

If it’s not owner occupied then I would also check bifi loan servicing