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9
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1
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Eric Sanne
  • Specialist
  • Eugene, OR
1
Votes |
9
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Owner-financing on an owner-occupied loan?

Eric Sanne
  • Specialist
  • Eugene, OR
Posted

Hey everyone,

This is my first post so I apologize in advanced if this comes off as a very dumb question. I am looking to purchase my second home, which will be a multi family unit, and an idea struck me. What if I do all of the steps to brrr but instead of rent long at the end, I offer owner-carry terms? I figure that I’ll be getting a monthly payment possibly more than what a rent payment would be, I’d get a larger down payment than a deposit would be, and God forbid they stop paying the ‘mortgage’ I can just take the house back. I couldn’t find anything about the legalities searching these forums, but a quick search on google gave a vague answer that, “most loan contracts have a due on sale clause” another option someone suggested was to do a lease to buy, but does anyone think I can offer owner financing? Would the buyer expect to be listed on the title once we agree to terms? How would the bank know Ive made this deal?

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