Seller Financing / loan servicing

[John Dean]

Hey all!

I plan to sell my SFH rental. But my plan is to pay off what's left to own it free and clear and do seller financing.

my plan is to offer 15 or 30 years at a normal rate that someone could get from the bank at time of closing. (Most likely considering adding a 7 year ballon.)

Do you suggest letting a loan servicing company handle payment collection/escrow/insurance or are you all handling those pieces?

[Chris Seveney]

@John Dean

Let’s say you are in the 28% tax bracket - after taxes you are making 5% on that money - how much down payment the borrower putting

Would you be better to sell and collect qualified dividend income?

It’s like winning lottery - you take lump sum or annual

When people say well banks do it, the banks can make a $100,000 loan with only $10,000 (fractional lending - which you and I cannot do).