Here's Your FREE Action Guide...
Buy Your Dream Home with NO Credit Check in the Next 30 Days!
Howdy. Brian Bagnall here. If you've been dreaming of becoming a homeowner but don’t feel the banks will work with you (or you don’t want to work with banks), then you’re in the right place.
About 30% of Americans fall outside of traditional mortgage lending criteria. This could be because of any of the following reasons:
* Income not verifiable (work for cash or tips)
* Lack of steady income (your income varies from month to month due to things like sales commissions or seasonality of work)
* Less than 2 years at your current job
* Self-employed
* Lack of credit history (or lack of a balanced credit history)
* Recent divorce
* Medical bills
When you fall outside of traditional mortgage lending criteria, it can make it almost impossible to make your dream of becoming a homeowner come true.
BUT There's Good News...
The good news is that there’s a way to work around your circumstances and become a homeowner. It’s called owner-financing (also called seller financing).
Owner financing is when the seller is willing to finance the property to you just as a bank would. Instead of making your down payment and monthly payments to the bank, you make them to the seller. (and the seller acts at the bank)
The only difference between a traditional transaction and a seller financed one is that the sale happens inside a trust to ensure both parties honor their agreement. The trust agreement outlines the terms of the sale, a deed is held in escrow and the property is transferred to you when you pay off the seller in full (this is for the seller's protection).
Everything Is Streamlined...
With owner financing, the entire closing process is streamlined because there’s no need for lender required appraisals or long underwriting periods. The seller is the bank and they make the final and immediate decision. Which also means it’s cheaper because you don’t have to pay any origination fees or other inflated charges usually involved with taking out a mortgage.
This isn’t a rent-to-own or lease purchase where you don’t really get any of the benefits of homeownership. With this purchase method, the IRS views you as an owner. That means you can deduct your mortgage interest and property taxes just like any other owner.
As you might imagine, these deals can be very hard to find because sellers aren’t exactly lining up to take on the risk of financing you. The good news for you is that financing you is our business. We sell all of our properties with owner financing.
You Probably Have a Few Questions Like...
Q: "How much do I have to put down?”
A: We require a minimum of a 10% down payment. The exact amount depends on the property and what the demand for the property is. Because lending is risky, we look for the highest down payment we can get because we’ve found it decreases the risk that we’re going to have payment issues with a buyer. So when we ask "what's the max down payment you can do?"... it's important that you're honest with us about your financial picture or you may miss out on the property to someone else with a higher down payment. Also, the financing terms we're willing to offer you greatly depend on the amount of your down payment.
Q: "What funds can I use for my down payment?”
A: You can use cash of funds in your checking or savings account. You also might be eligible to withdraw or borrow from your 401k or IRA without penalties. You can also borrow money from a family member. In some cases, we even accept trades on things like other pieces of real estate, businesses, cars, RVs or anything else of considerable value. If we do accept a trade, understand that we can’t give you market value for it because it takes time and money to convert those things to cash.
Q: What are the terms of the financing?” (interest rate, term, etc.)
A: The terms we’re willing to give you depend on the amount of your down payment. The higher the down payment, the better the interest rate we’ll be able to give you and the lower your monthly payment will be. The monthly payment will include principal, interest, property taxes, property insurance and HOA fees (if applicable). The interest rates with owner financing are typically a bit higher than standard mortgage rates (but still affordable) because we’re taking a risk so that you can be a homeowner. When you default with a bank, the bank isn’t going to lose any sleep. If you default with us, we don’t have the same financial resources that a bank does to recover. This program isn’t meant to be a long-term solution anyways. Your goal after buying from us should be to take the next 6-12 months to work on whatever is preventing you from qualifying for a traditional mortgage and refinance out at a lower interest rate. (although there isn't a balloon that forces you to refinance within a specified amount of time)
Q: “Is there a pre-payment penalty or balloon?”
A: Never.
Q: “Do I have to have good credit?"
A: No. After you move in, however, you should be prepared to clean up whatever issue was preventing you from financing conventionally so that you can refinance at a lower interest rate. We can refer you to trusted resources for this.
Q: "Will you negotiate on the price or terms?"
A: No. We have no problem selling our properties since owner financing is such a rare thing so we don't negotiate on price or terms. If you want better terms, put down a higher down payment.
By Now, You're Probably Wondering What the Process Looks Like
We have an easy 7-step home buying process:
1. We’ll have a call to talk about your finances (your max down payment and max monthly payment). It’s important that you be honest about these things because we will ask for proof of your finances prior to working together. Also... you very well could miss out on your dream home if you're not honest about your down payment and monthly payment capabilities because we won't show you properties that are outside of the amounts you give us.
2. We’ll check our inventory to see if we have a property that would fit your needs. If we don’t, we will find you one (if you’re serious).
3. When there’s a property that’s a good fit, we’ll set up a time for you to see it.
4. When we find a property you like, we'll sign simple and easy-to-understand 1 page purchase agreement. You'll make an earnest money deposit equal to 25% of your total down payment amount (or $5,000… whichever is more) to take the home off of the market. This will be fully applied to your down payment. Closing can be scheduled as quickly as the same day or up to 14 days out (we don’t hold onto properties for longer than that).
5. Then we’ll send over a Buyer Application & Information document that will request standard loan and financial information from you to make sure you can afford the payment. (this isn’t a big deal… most people pass this with flying colors… it’s nothing like qualifying with a bank... but we do want to make sure you can afford it because we don't want to have payment issues).
6. The day before closing, we’ll set up an appointment for you to meet with an online notary to sign the closing paperwork. On this day, you should also initiate the wire transfer of the remaining down payment balance so that it arrives on or before the closing date.
7. Once we've received the wire, we’ll arrange for you to pick up your keys. Congratulations! You’re a homeowner!
Here's What to Do Next
Now, part of the reason you came here was to see a list of our available properties. In all honesty, our inventory changes daily so, a lot of times, it’s hard to keep a truly up-to-date listing online. You can access the list below. BUT… if you have AT LEAST a 10% down payment AND you’re serious about buying a property in the next few weeks… Here’s What You Should Do Next: Give me a call right now at (888) 847-8288 (if i don't answer, leave a message) OR book a call below. And we can discuss up-to-date property availability.
Special Offer: If you put something under contract in the next 2 weeks, I will pay your closing costs FOR you. (a huge savings)
About Your Expectations: Seeking out an owner financed property is different in the way that you usually can’t have everything you want on your wish list. There are a few million properties available for sale conventionally. But a much smaller amount of properties are available with owner financing. So set your expectations accordingly. (Example: it's fine to say I'd like a property in XXXXX zip code with 4 bedrooms and 2 baths. It won't work to request a property that has granite countertops, a subzero fridge, a pool, etc.).
Access our (sometimes not up-to-date) list of properties by clicking here.
Book a Call Here
NOTE: Please remember that you must have a minimum of a 10% down payment before booking a call (but some properties very well might require a higher down payment).
What Others Have to Say About Us...
“Thanks again for getting us the home of our dreams. We were told time and time again we couldn’t buy a house, but you gave us a great deal long before we though we could even buy. Thanks Brian!”
-- Robert & Steph Williams
"We don’t know what we would have done without you helping us out. We surely would have wasted a lot of money on rent.”
-- Ivan & Maria Thurmond
“Thanks for making it so easy to buy. We thought we would never be able to buy a home, but you made our dreams come true!”
-- Brad & Sonya Jones Meriden
“Thanks for helping us get the home we’ve always dreamed of without all of the hassles of banks and real estate people.”
-- Valerie and Mike D.
“Thanks for making it so easy to buy. We can now live the life we have always wanted. Even though we had rough credit and some problems.”
-- James & Jacky J
“We don’t know what we would have done without you helping us out. We surely couldn’t have bought a home without you! Thanks!”
-- Debbie & Marcie L