Since: Oct 09

Crossville Tn

#1 Jan 17, 2010
Does anyone know anyone whom does owner financing in Cumberland County?
SavannahSmiles

Cookeville, TN

#3 Jan 17, 2010
Not a good idea for the buyer or the seller.
dude

Charlotte, TN

#4 Jan 17, 2010
im owner finissing to someone have been for 2 years it has workrd out great for me and the tenats u can work up a contract so you dont get cheated u can look on local sales network and find some or some realestate agencys can tell u some
SavannahSmiles

Cookeville, TN

#5 Jan 17, 2010
What happens if your tenant decides to file bankruptcy? They the court protects THEM, not you. I know someone now who is in a situation up to his neck and there isn't a darn thing he can do about it but wait and hope that the judge will see fit to make them give his place back. This has been going on for months. They were supposed to be making payments according to the court's decision, yet not one payment has been made. They have all been to court several times, and every time, the judge puts it off a little bit longer, to give the deadbeats more time. I wish you the best, Dude, but let me tell you, CRAP does happen.
common sense

Crossville, TN

#6 Jan 17, 2010
Savannah,IF that person had done it right,He wouldnt be in a mess,First off,,They should have checked who the seller had his financing thru and Then checked the first month to make sure the seller was making the payments,If he wasnt paying the loan payments.Thats when action should have taken place. To start with no one should buy property that is alreaady financed,,Unless its a loan assumption of course, People just sit back and take everything for granted until its too late. If the person you know can prove he was making payments,,The federal bankruptcyjudge will have to look at the HOME EXEMPTION from bankruptcy,
common sense

Crossville, TN

#7 Jan 17, 2010
Another option could be done this way,,Tell your friend to askhis attorney to talk to the ORIGINAL financer and ask if the entire loan can be assumed.Its possible since so many banks and mortgage corps are loaded down with repo homes. The Judge would sure love to hear that idea,It would cut the deadbeat out of the picture. TRY it .nothing to lose anyway
Been there Done that

Dunlap, TN

#8 Jan 17, 2010
First off when doing a Owner Finacne aka Land Contract deal you MUST make sure if the Seller has a mortgage on the home that is is allowed to be sold this way many Mortgage Companies DO NOT ALLOW THIS and if they find out they will call the mortgage and both parties will be screwed. If it is allowed any money the Seller receives is usually requried by their mortgage company to go to the mortgage company. Secondly the proper and safe way to do this type of deal is have it done with a DEED OF Trust and a local attorney can do that and their is plenty in the area who is familar with them if not FIND ONE. It is pretty resonable and well worth it. It protects EVERYONE INVOVLED. We have sold and bought many homes like this about 30 of them and NEVER had a deal for bad because it was protected by the DEED OF TRUST. If a seller will not do this then RUN don't walk. REMEMBER LAND CONTRACT?OWNER FINANCING IS NOT THE SAME AS LEASE OPTION OR RENT TO OWN.
GOOD LUCK.
SavannahSmiles

Cookeville, TN

#9 Jan 18, 2010
Common Sense, I think you misunderstood me... The person who SOLD the property did not file bankruptcy -- the BUYERS did. Now the seller has no choice but to wait until the bankruptcy judge says enough is enough. Only then can the seller take possession of his property and try to salvage what is left. Not only have the deadbeat buyers not paid a dime on the place, they are stripping it out and selling everything that is worth anything. I strongly stand behind my belief that owner financing is not a good idea for either the buyer or the seller, because you just never know what can happen, and there you are, standing there holding your butt with both hands.
SavannahSmiles

Cookeville, TN

#10 Jan 18, 2010
Been there, the person I was referring to had all the legal paperwork, aka Deed of Trust, etc. It did not help him at all when his buyers filed Bankruptcy. I am very happy that your case has worked out positively, so many times. I know it is possible... but you just never know when it won't go well. I have been poor for so long that I tend to shy away from taking chances like that. I just can't afford to risk losing, LOL.
Been there Done that

Dunlap, TN

#11 Jan 19, 2010
SavannahSmiles wrote:
Been there, the person I was referring to had all the legal paperwork, aka Deed of Trust, etc. It did not help him at all when his buyers filed Bankruptcy. I am very happy that your case has worked out positively, so many times. I know it is possible... but you just never know when it won't go well. I have been poor for so long that I tend to shy away from taking chances like that. I just can't afford to risk losing, LOL.
Savannah, To begin with you state this was a "Tenant" in your post and when you purchase on a LAND CONTRACT you ARE NOT A TENANT. A Tenant is someone who is RENTING or LEASING WITH OPTION and that is NOT the same as purchasing on a LAND CONTRACT. Also if this person used a DEED of Trust then there is LEGAL grounds for BOTH parties invovled as I said BEEN THERE DONE THAT. As for you being poor all your life I am sorry for that but how do you know I was not at some point. I don't see where that comment fit into the topic nor was I directly aiming my inital post at you. There is no guarantee in life BUT Land Contracts are the best way to go for many in today economy and with a DEED OF TRUST it is the safest way to do a Land Contract. Now as for this person filing Bankruptcy why is the OWNER of the home not filing a claim for recovery agains this person he/she has the right to IF this person was indeed purchasing the home. To be honest I think some facts are missing from the story that we are not getting because BANKS. Courts do NOT WANT homes in Forclosures, there are programs to help. Does the seller own the home out right or do THEY have a mortgage on the property? If so then chances are the main mortgage holder and that being the Bank will step in but as I said if the Seller did not get prior approval to sell the home on a land contract from their mortgage holder be prepared to anwser questions and possibly having the mortgage called to be paid in FULL with a very short period of time to do this and I have seen this happen to someone and they had 48 hrs to pay in full because it is in their contract of the mortgage and their right to do so.
I don't mean to be rude but we do have experience in this and wanted others to be safe about doing this type of deal but also to let them know it is a good way to purchase if their options are limited.
SavannahSmiles

Cookeville, TN

#12 Jan 19, 2010
I will type my replies in caps in order to separate your comments from my replies, so please don't take offense.
Been there Done that wrote:
<quoted text>
Savannah, To begin with you state this was a "Tenant" in your post and when you purchase on a LAND CONTRACT you ARE NOT A TENANT. A Tenant is someone who is RENTING or LEASING WITH OPTION and that is NOT the same as purchasing on a LAND CONTRACT.

I APOLOGIZE FOR USING THE WORD "TENANT". IT WAS A MISTAKE ON MY PART, AND I WILL HAVE TO LIVE WITH IT FOR THE REST OF MY LIFE.:)

Also if this person used a DEED of Trust then there is LEGAL grounds for BOTH parties invovled as I said BEEN THERE DONE THAT. As for you being poor all your life I am sorry for that but how do you know I was not at some point. I don't see where that comment fit into the topic nor was I directly aiming my inital post at you.

I SIMPLY MEANT THAT SINCE *I* HAVE BEEN POOR ALL MY LIFE, IT MAKES *ME* NOT WANT TO TAKE ANY CHANCES FINANCIALLY. IT WAS MY EXPLANATION FOR WHY I PROBABLY FEEL AS STRONGLY AS I DO.

There is no guarantee in life BUT Land Contracts are the best way to go for many in today economy and with a DEED OF TRUST it is the safest way to do a Land Contract. Now as for this person filing Bankruptcy why is the OWNER of the home not filing a claim for recovery agains this person he/she has the right to IF this person was indeed purchasing the home. To be honest I think some facts are missing from the story that we are not getting because BANKS. Courts do NOT WANT homes in Forclosures, there are programs to help. Does the seller own the home out right or do THEY have a mortgage on the property?

I GUESS I SHOULD HAVE SAID RIGHT OUT THAT THIS IS NOT A HOME, BUT A BUSINESS. I WOULDN'T THINK THAT WOULD MAKE A DIFFERENCE. MAYBE IT DOES. I AM NOT AN EXPERT -- ALL I KNOW IS WHAT I HAVE SEEN WITH MY OWN TWO EYES. ALSO, THERE IS A MORTGAGE AGAINST THE PROPERTY. THE BANK KNOWS ABOUT THE LAND CONTRACT SALE. THE ORIGINAL OWNER CONTINUES TO STRUGGLE WITH THE MORTGAGE PAYMENTS AS THESE DEADBEATS GO ON THEIR MERRY WAY, AS IF HE SHOULD JUST HAND OVER THE DEED AND CALL IT THEIRS. THEY ARE EVEN SELLING THE EQUIPMENT OUT OF THE BUSINESS AND POCKETING THE CASH, EVEN AFTER LAW ENFORCEMENT WAS CALLED IN TO TELL THEM TO STOP. SO FAR, THE COURT HAS NOT HELD THEM LIABLE FOR ANYTHING, WHILE THE ORIGINAL SELLER JUST HAS TO EAT IT. I MIGHT ADD THAT THE REASON HE WAS SELLING THE BUSINESS IN THE FIRST PLACE IS BECAUSE HE CAN NO LONGER RUN IT, DUE TO HEALTH ISSUES.

If so then chances are the main mortgage holder and that being the Bank will step in but as I said if the Seller did not get prior approval to sell the home on a land contract from their mortgage holder be prepared to anwser questions and possibly having the mortgage called to be paid in FULL with a very short period of time to do this and I have seen this happen to someone and they had 48 hrs to pay in full because it is in their contract of the mortgage and their right to do so.

SO FAR, THE BANK HAS NOT BEEN ABLE TO DO ANYTHING ABOUT THE SITUATION, DUE TO THE COURT CONSTANTLY GIVING THE DEADBEATS MORE TIME TO DO NOTHING.

I don't mean to be rude but we do have experience in this and wanted others to be safe about doing this type of deal but also to let them know it is a good way to purchase if their options are limited.
(I THINK I COVERED EVERYTHING...)

I AM HAPPY THAT YOU HAVE HAD ONLY GOOD EXPERIENCES WITH LAND CONTRACTS. THAT IS WONDERFUL. UNFORTUNATELY, IT DOES NOT HAPPEN THAT WAY FOR EVERYONE.
SavannahSmiles

Cookeville, TN

#13 Jan 19, 2010
Been there Done that wrote:
<quoted text>
Savannah, To begin with you state this was a "Tenant" in your post and when you purchase on a LAND CONTRACT you ARE NOT A TENANT. A Tenant is someone who is RENTING or LEASING WITH OPTION and that is NOT the same as purchasing on a LAND CONTRACT. Also if this person used a DEED of Trust then there is LEGAL grounds for BOTH parties invovled as I said BEEN THERE DONE THAT. As for you being poor all your life I am sorry for that but how do you know I was not at some point. I don't see where that comment fit into the topic nor was I directly aiming my inital post at you. There is no guarantee in life BUT Land Contracts are the best way to go for many in today economy and with a DEED OF TRUST it is the safest way to do a Land Contract. Now as for this person filing Bankruptcy why is the OWNER of the home not filing a claim for recovery agains this person he/she has the right to IF this person was indeed purchasing the home. To be honest I think some facts are missing from the story that we are not getting because BANKS. Courts do NOT WANT homes in Forclosures, there are programs to help. Does the seller own the home out right or do THEY have a mortgage on the property? If so then chances are the main mortgage holder and that being the Bank will step in but as I said if the Seller did not get prior approval to sell the home on a land contract from their mortgage holder be prepared to anwser questions and possibly having the mortgage called to be paid in FULL with a very short period of time to do this and I have seen this happen to someone and they had 48 hrs to pay in full because it is in their contract of the mortgage and their right to do so.
I don't mean to be rude but we do have experience in this and wanted others to be safe about doing this type of deal but also to let them know it is a good way to purchase if their options are limited.
First of all, I said that *I* have been poor all my life, and it makes *me* afraid to take financial chances. That could be why *I* feel so strongly about owner financing. My own personal feelings regarding the subject was the reason for the comment.

I mistakenly called the purchasers "tenants". I chose the wrong word, and for that, I am truly sorry. I have to live with that for the rest of my life.:)

Also, this is not a home, it is a business. I didn't figure it being a business would give the deadbeat purchasers a right to crap on the seller.

There is a mortgage on the property, and the bank is fully aware of the land contract sale. The loan officer even offered advice on how to handle the sale. The seller struggles continuously to keep the payments up every month while the loser deadbeats go on their merry way, acting like the seller should just hand over the deed and call it theirs.

The bank's attorneys have tried to do what they can to help, but as it stands now, it will go on as is until the COURT decides to make them crap or get off the pot. Sorry... I'm not feeling a nicer analogy about the situation just now...

I think I covered the highlights in your reply. If not, let me know and I will try to clarify.
SavannahSmiles

Cookeville, TN

#14 Jan 19, 2010
Well doodoo! The first one didn't go thru so I tried it again and now there they both are! GGRRRR!

Since: Oct 09

Crossville Tn

#15 Jan 19, 2010
Ok.....so what I've got so far is that with this whole owner financing/rent to own/whatever it's called....is a BAD idea?
Been there Done that

Dunlap, TN

#17 Jan 19, 2010
Meldan wrote:
<quoted text>
Thanks a ton!!!
No, Meldan they are not ALL bad as I have been saying Do research, Ne smart about it use an Attorney and always be honest with the owners and communicate if you are having problems. It is a good way to go for most. A business is totally DIFFEENT then doing a home on Land Contract. There is RISK in anything we do but again it is one of the best routes to go if your wanting a home and can not do a normal mortgage. I have excellent credit and a credit score of 776 and still prefer to do Land Contracts when purchasing a home and or business. Just be smart and check everything out. Don't get invovled in lease options because in my opinion you can lose alot more because only a partial of payment goes towards buying the place and you can still be kicked out if things don't go well and you lost all you put into it. Don't give up your dream of owning a home this can work out for you. Good Luck and I wish you all the best.

Since: Oct 09

Crossville Tn

#18 Jan 20, 2010
Been there Done that wrote:
<quoted text>
No, Meldan they are not ALL bad as I have been saying Do research, Ne smart about it use an Attorney and always be honest with the owners and communicate if you are having problems. It is a good way to go for most. A business is totally DIFFEENT then doing a home on Land Contract. There is RISK in anything we do but again it is one of the best routes to go if your wanting a home and can not do a normal mortgage. I have excellent credit and a credit score of 776 and still prefer to do Land Contracts when purchasing a home and or business. Just be smart and check everything out. Don't get invovled in lease options because in my opinion you can lose alot more because only a partial of payment goes towards buying the place and you can still be kicked out if things don't go well and you lost all you put into it. Don't give up your dream of owning a home this can work out for you. Good Luck and I wish you all the best.
Thanks....I'm working on my credit score as of right now.....hopefully over the next year (of improving my score) I will have plenty of time to research it ALL out....
Been there Done that

Dunlap, TN

#19 Jan 20, 2010
Meldan wrote:
<quoted text>
Thanks....I'm working on my credit score as of right now.....hopefully over the next year (of improving my score) I will have plenty of time to research it ALL out....
Thats a great thing to do and I strongly recommend Everyone check their credit score since your now able to check it once a yr for free and dispute anything on it if you need to. We found some errors on ours because their is another person with the same as mine and her birthday was off by one day and her ss# was a digit off and to say the least her credit sucked and it hit mine and took almost a yr to clear it up the one thing going for me is she lived in Calif and I live here and never been there and it said I owned a home there which that was a big HECK NO!! anyways FYI and something to think about Banks are not lending home mortgages unless credit score is 740 some will go less but be prepared to pay higher rates and the approval rate will be lower and BIGGER DOWN PAYMENT required so don't shy away from Owner Financing if your score is to low because they are not all bad and their are still good honest people willing to do them.
Good Luck

Since: Oct 09

Crossville Tn

#20 Jan 20, 2010
Thanks for everyones help....

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