All Forum Posts by: Larry Lee

@Chris Seveney @David Wandel @Lee Judd

Appreciate your responses.

We would like to sell the property, clean break but property manager/real estate agent is telling us because there are some lead issues that need to be addressed, conventional financing will be hard.  And we happened to be approached by a buyer requesting seller financing, and since this is not a subject we are familiar with I posted here for some input.

And no, it's not the ideal to sell at loss but our property manager seems to be at loss on how to deal with our problematic tenants.  And we are 4-5 hours away which makes trying to manage ourselves impossible.

I have since talked to my accountant, and his advice is...if we are to sell at a loss, it's better to take the loss out right which can be used to offset other gains, vs. a failed note and foreclosure etc, which can not be claimed against taxes.

We were approached by a buyer with a seller financing offer.  We have no mortgage on the property.

10% down payment

6% interest amortized for 30 years but with a balloon payment due at the end of five years

We'll be taking a loss with the offer price but with the 6% interest for 5 years, we are about break even.
Our biggest concern is if they default, we don't know anything about the foreclosure process. 

Someone had mentioned we can sell the private note.

Appreciate any insight.