Hi all!

We just recently listed our home for sale - it is a large-ish renovated historic property zoned B-1 for residential or light commercial use. At Super and a few others' suggestion, we are considering offering limited owner financing as an incentive to getting a law office or similar in here so we don't have to be on the market forever.

Currently we have a mortgage that is about 60% of the asking price (I know, I know - the market determines the value not the seller :-) ) Would we be able to offer short term financing - say up to 24 months - with an existing mortgage? We were thinking of requiring 20% down, to be kept in escrow, with the stipulation that the new owner assume responsibility for all taxes and assessments, and that they secure permanent financing within 24 months. Is this realistic? In your experience, will a mortgage company let something like this happen as long as we continue to pay the mortgage until the seller obtains permanent financing and the title is transferred? Not asking for legal advice - we will certainly get an attorney involved if we go this route - just some general input. Would it make more sense to offer a lease purchase instead?

Thanks!

Amanda

I do not think that the Mortgage company will be agree, but it will not hurt to ask. The most important, whatever you do, needs to be disclosed.

I agree with Viktor, ask. What was the old adage:
"If you don't ask, the answer is already NO".

However, keep in mind that even if the lender agrees, the loan is not transferable and you will still be responsible for the payments, no matter where the money comes from.

I would strongly suggest that you are in the loop with payment processing, posting, etc...

Good luck!


-AP

Definentally stay in the loop, and investigate. You do not want to be left out.