Does seller-financing, plus assumable loan = "Do Not Pass Go"

[Patricia Joseph]

Hey BP,

My husband and I are looking into using creative financing strategies, such as seller-financing for investing in small, multifamily properties. While this strategy seems enticing, it also is a little intimidating. It's almost like getting a box of chocolates and not knowing what you'll get.

How would we go about protecting ourselves if we found a property with seller financing and it's an assumable loan. Can we negotiate downpayment and terms? When we find a property like this, should we run for the hills? Would love to get your thoughts and recommendations.