Welcome to our real estate investment platform, where we specialize in purchasing houses through seller financing. But what exactly is seller financing, and how can it benefit you as a homeowner?

Seller financing is a unique arrangement where the seller acts as the lender, allowing the buyer to make payments directly to them over time, rather than securing a traditional mortgage through a bank or financial institution. In essence, you become the financier, providing an alternative pathway for buyers to acquire your property.

Okay, so the way this terms type deal works, is

• First, we agree on a price, which may very well exceed your initial asking price to ensure it's fair and worthwhile for you. Then, we establish a payment plan.
• We then provide you with a substantial down payment, giving you immediate access to a significant sum of money.
• Following that, we make regular monthly payments to you over a predetermined period.
  
• To expedite your access to funds, we can offer a balloon payment at a specified future date.
  

During this period, it's akin to receiving a paycheck in your mailbox. You'll no longer bear the responsibilities of a landlord – no worries about taxes, maintenance, or sudden repairs like a malfunctioning AC unit. If anything goes wrong, they call us, not you. Essentially, you're elevated to the status of a lender.

This arrangement is particularly advantageous for someone like you. You receive a substantial upfront lump sum to allocate as you see fit. Plus, you continue to receive regular payments without the associated hassles of property management. It's a win-win situation."

No. We would be taking over all responsibility. You basically become bank of america, right, you don’t call bank of america when you have a toilet leak.

Deed in Lieu:

We have a simple solution to address concerns like these. We establish a document known as a performance deed, which essentially means that I must fulfill my obligations, or else the property reverts back to you.

For instance, imagine we offer you a substantial down payment and an interest rate that excites you. Everything seems great, but what if, hypothetically, I'm unable to fulfill my obligations due to unforeseen circumstances like being abducted by aliens in 36 months? In such a scenario, regardless of the circumstances, you keep the entire down payment and all the payments made thus far.

Our agreement includes a provision where I pre-sign a deed in lieu of foreclosure. This means that instead of you having to initiate a foreclosure process in such an event, you simply assume ownership of the property without any hassle. It's a straightforward process that ensures your peace of mind and protects your interests.

Protection: 

• When we get possession of the property we will go in and do a full renovation, updating it to 2024 standards
  • The down payment is non refundable
  • You get to keep all of the payments made along the way
  • The Title Company will also insure the transaction at closing
  • At closing, I will also pre-sign a deed in lieu that will be recorded with title, so if I’m abducted by aliens, you get deeded back the property with out having to foreclose on me.
  • You’ll never have hunt me down - as I also pay for a 3rd party loan servicing company - we use West Star
    • When I set up the account, they will have all of the details and parameters of our agreement. The total amount due, monthly payment, grace period for late payments, etc. (which we have over 100 rentals that we bought this way, and we’ve never had a late payment)
    • So I pay them, and then they pay you for me
    • We do it this way because they keep nice and neat records of all transaction
    • They send you email updates, we never have to bother each other - I want this to be as smooth for my sellers as possible - honestly most of them forget about me until they get the check in the mail each month.
    • So if I was abducted by aliens, and only 1 day late on making my payment to you, or whatever we agree to, typically we do 30 days. They are the ones that you would call if you wanted to enact the deed in lieu, you would simply call them up and say hey, I want to enact the deed in lieu, and within 24 hours, you would be deeded back the property, no mess, no fuss.
    • So the worse case scenario, it’s actually the best thing that could happen, bc you would get the property back fully updated and be able to list it for more than what you’re asking now

Benefits:

Well, they’re a quite a few benefits to selling on terms

• As I mentioned, when I buy on terms, I’m often able to pay asking if not more
• You get payments each month with out any of the responsibility of being a landlord
• You get a lump sum in the beginning for a down payment, so you can go and make your next moves
• And they’re are tax benefits, which is why most of my sellers end up selling to me on terms instead of selling out right.
  

  • Tax Benefits

    Definitely want you to talk to your CPA, but I want to explain it really quick, so we actually just bought a property last week from a guy that was trying to do a very similar thing, he has a home in temple arizona, he’s owned it free and clear for 20 yrs, and so if he was going to sell that home, he was going to get hit pretty heavily on capital gains - so what we did, was we structured a terms deal. And the nice part about terms is lets just say, you know we agree on 100,000 dollars, and we do a terms deal and then we do a balloon cus it sounds like you’re probably going to want your money a little quicker, than a traditional terms deal, right. What’s nice is the entire balance that we paid off, when we do balloon you, so lets just say thats in 3 yrs or 5 yrs, whatever is left on the remainder of that, is what you’ll get on capital gains, so instead of paying capital gains on 100,000, you would potentially be paying capital gains on 50 or 60, right. So essentially, i mean you’re not getting it totally free, but the 50,000 that we would pay down over X amount of yrs, would be in a totally different tax bracket, than the capital gains would if you were to just sell it out right.

    And you can confirm this with your CPA, i’m just giving you something to talk to him about - typically when i sell my homes, I sell them on same thing, similar to seller finance,

    So if you’re really looking to avoid uncle sam, ya know, this is typically the best way to do it.

WestStar Mortgage Corporation:

We go through a loan servicing company, I pay the servicing company and then the servicing company pays you to where you want the funds to go. They are also the ones that if I default, you call the servicing company and tell the servicing company that you want to exercise on the performance deed and you want the house issued back to you in your name.

It makes it very easy that we have a third party handling the money every single month, so you don’t have to hunt me down track me down there’s a company that I pay every month to manage the financial aspect of it, they are not my company, it’s a third party that I hire.

• Do they pay me in direct deposit?

  They’ll give it to you every month on the designated date to the designated location and then on top of that. Yep it can be whatever you want direct deposit will pay you and rolls of quarters if you really want.

So our exit strategy when buying on terms, is to rent the property and cash flow. If they’re good tenants we have no problem keeping them. 

Yes, what we do is we leave your insurance in place while close escrow, at closing we do all the paperwork and then once I’m the owner of the property I will have my insurance agent replace your policy with my new policy. And then we will add you as the additional insured because you are the lender so its not only me and my business name on the insurance policy but you will be on the insurance as well.

We would switch over all utilities.

We have all the documents needed for a property transaction like this.  We typically draft the agreement and encourage you to bring it to your attorney for review.  Once everyone understands the process, we can move forward from there.