Seller/Owner financing - The Basics
Howdy BP folks!
I did some research on the process of owner financing and found some good info but left me confused and with more questions. I'm hoping folks here can answer a few questions.
I am currently in negotiation with a home owner for a SFH in Sacramento, CA. She currently rents it out and owns it free and clear but is a tired landlord. If we were to agree to a price, do 0 down with the purchase price at 5% for 5 years with a balloon payment at the end, what are the basic steps I need to take?
- have a real estate attorney put together a contract for the transaction and note? or contracts from places like legal zoom good enough?
- Enlist a Title company to do a title search and transfer of title?
- Escrow company needed? If we go $0 down, do we need an escrow service?
- Anything else I'm missing?
This would be my first seller-financed transaction if we come to an agreement. I know these are basic questions but couldn't find simple answers to them and the process.
If you have recommendations on the services needed above, I'm all ears!
Thanks!