Posted by JohnBoy on May 18, 1999 at 12:29:04:
What are you trying to do with this? Do you want to carry paper or get as much cash out as you can up front?
If you want to carry most of it then I would go with a contract for deed and get as much as you can down from the seller.
If you want most of your cash out then offer seller financing with 5%-10% down. Get the buyer a new 80% first and you carry back a second for the difference minus their down payment.
If you get a buyer with 5% down, you get him a new 80% first with you holding a 15% second. This way you don’t have to discount a mortgage to get your cash out. There are a lot of lenders out there that will go with these type of programs allowing selling carry backs with buyers that have credit problems. Hook up with a GOOD mortgage broker that has lenders they work with on these programs.