Owner Financing
Can someone please explain owner financing and how it is generally structured? Is it also known as ''seller carry back''? I have an idea but not sure. Is this example anywhere close
5-PLEX WITH BANK LOAN AND 30% DOWN
$100,000 asking price
$70,000 commercial loan
$30,000 down payment
8%
20 year amortization
$585 monthly mortgage (principal and interest only)
5-PLEX WITH BANK LOAN AND SELLER FINANCE DOWN PAYMENT
$100,000 asking price
$70,000 commercial loan
8%
20 year amortization
$585 monthly mortgage (to lender)
$30,000 seller finance for down payment
10% (or whatever agreed upon)
x amount of years
$x amount of payment to owner
OR
5-PLEX SELLER FINANCE 100% (or maybe like 10% percent down???)
$100,000 seller finance
10% (or whatever agreed upon)
20 yr amortization
Close or really outta wack?????