Please help me create the perfect seller financing offer!

[Antwan Davis]

I found a Seller who I think will accept the proper Owner Financing offer. The seller has a mortgage with a balance of $320K. Sellers wants to list the property but due to all the fees financially this is the best options.  Monthly payments currently is $2300 per month. Please help me create the perfect seller financing offer!

Here is the offer I came up with:

Offer Terms:

• Purchase Price: $320,000
• Down Payment: $11,200 (3.5%)
• Financed Amount: $308,800 to be held by seller as a wrapround mortgage
• Interest Rate: 5%
• Loan Term: 2 years (24 months) (After 24 months, buyer must renegotiate the terms with seller.
• Monthly Payment: $2500
• Payment Schedule: Payments to be made on the 1st of each month.
• Closing Date: TBD

Closing Costs: Since no bank is involved in the transaction, closing costs can be even lower

• Seller covers closing costs up to $5000

[William Sing]

Hey Antwan — solid move jumping on the seller financing route 👏

Your offer has a good foundation. That small monthly spread to the seller ($2500 vs $2300 mortgage) keeps it simple and clean. Plus, offering terms like a 2-year balloon gives you some flexibility without locking you in long-term.

A few things I’d consider adding or tweaking:

• You might want to delay payments or start interest-only for a few months, especially if you need time to get the property rent-ready or stabilized. That breathing room up front can make a big difference.

• It’s smart to clarify how taxes and insurance will be handled in the wrap — whether that’s built into your monthly or paid separately.

• Instead of just saying the terms will be renegotiated after 24 months, it could help to bake in an option to extend if you’ve made on-time payments. Keeps you covered if the refi market isn’t friendly at that point.

The rest really comes down to what the property's bringing in — if the numbers work and you’ve got a cushion, the terms feel strong.