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San Diego downtown real estate broker

Bob Schwartz, CRS, GRI 

Certified Residential Specialist



San Diego, California 92101

Telephone - Cell:
(619) 300-8819

(619) 229-0048

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Creative Owner Financing


Sometimes it can be strange if you ask a seller to offer you owner financing to purchase a home. When the seller carries a portion or the entire purchase price less the buyer’s down payment, the seller gives owner financing. The method of owner financing works in various kinds of markets and is a time-tested method. There are many who want to be ahead in the competition with other houses on the block. There are many who want to sell their property at higher rates than the market value. There are many who want to get a constant cash flow from their property after they have sold their property.

There are many advantages in owner financing. It lets the customer to sell property in good and bad markets. There is an edge in the competition in the markets regardless of the new home construction and rising foreclosures. These cannot lead to an influence on the customer .Owner financing attracts moiré buyers. Creative owner financing can lead to less of price negotiations. The customer can have a steady flow of money after the property is sold. This is one of the major advantages of creative owner financing. The person makes a transition from owner to the investor when he uses owner financing in buying real estate. Owner financing offers a competitive advantage. The other key benefit is that it offers steady flow of cash after the transaction. The strategy is time tested and it lets you to get money from the property you sold and then continue to gain from the transaction even after the property is sold.

The customer can settle his or her own terms in owner financing; these terms can involve interest rates and terms of payment. Benefits for all the various parties involved in the transaction can come from creative owner financing. In real estate owner financing the purchaser of the property pays the owner directly instead of through the bank, this way the buyer and the seller involved in the transaction get cash flow continuously. The seller of the property can get a significantly high price for the property in creative owner financing. You can also get high interest on the monthly payment. The methods used in creative owner financing are ideal for many customers and often do good for everyone.

One of the disadvantages of creative owner financing is the buyer does not pay the taxes, the water bill or other such payments. If this is the case, the government can seize the property. The buyer will have to pay the overdue bills. The buyer may get the property back but the bills will have to be paid by him. These are only some of the features of creative owner financing. There are other various features but they are immaterial if these are looked into. The advantages and disadvantages have been mentioned. Creative owner financing is an old method to look at modern problems. This makes it unique.


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San Diego downtown real estate broker