Another occasional request when making an offer to purchase real estate is to have the seller finance the whole transaction or “carry back” a second mortgage to help facilitate your purchase of their home.
In cases when the seller owns the home free and clear or does not need all the proceeds from their sale in order to purchase their next home, this is an option. The advantage to the buyer is that he doesn’t have to go through the traditional mortgage approval process.
If seller financing is part of your offer, you should include the appropriate addendum stating the basic terms you wish to pay on such a second mortgage. The actual seller financing documents must be drawn up by an attorney.
Seller financing can be a great sales tool that has benefits to the buyer and seller.