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  • Profile photo of 888888
    Participant
    @888
    Join Date: 2003
    Post Count: 4
    September 18, 2005 - 3:46 am

    Hi guys
    Have a block of land for sale. Have been approached by someone wanting to buy it to build a home on. They have asked about vendor finance.
    Would appreciate your help in explaining the ins and outs of vendor finance.
    Is it win-win, pitfalls, deposits etc. Absolutely anything would be great

    888

    Profile photo of Paul DobsonPaul Dobson
    Participant
    @pauldobson
    Join Date: 2003
    Post Count: 1,196
    September 18, 2005 - 7:40 pm

    Hi 888

    Because there are so many possible ways of “doing” vendor finance, at this point I’d ask your potential buyers what they have in mind.

    It could be that they want you to finance the whole lot over 30 years at x% interest rate, i.e. you would hold a first mortgage on the property and get your money regularly but SLOWLY.

    It could be that they, say, want to get 80% from a first mortgage lender (and give iit to you) and want you to carry, eg. 20% as a second mortgage at x% interest rate.

    And there are an almost infinite number of other ways of “doing” it.

    So, see what they have in mind and get back to us.

    Cheers, Paul

    Paul Dobson | Vendor Finance Institute
    http://www.vendorfinanceinstitute.com.au
    Email Me | Phone Me

    An alternative way to finance your home.

Viewing 2 posts - 1 through 2 (of 2 total)

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