Owner-Financed Home Buying Process
Find a home from our listings that interests you, and our team will set up a tour so you can see it for yourself. We’ll be available to give you details of the property and answer all your questions.
Once you have visited the property and are ready to move forward with making it your forever home, you can submit your information online so we can draw up the paperwork.
The contract is your commitment to purchase the home. It outlines all the details including purchase price, payment terms, move in date, and much more. Once the paperwork is signed it is sent to the title company so they can start working towards your closing. Important details of the contract include:
To make certain we are compliant and not putting someone into a home they can’t afford we work with you and a RMLO to review your income and expenses. It is NOT a credit based decision and many of our buyers don’t have a SSN. We believe that a work history and consistent income pays the bills more than a credit score.
The loan disclosure provides you with an estimate for all the details of the terms of your loan. Please review this carefully and consult with the RMLO or title company if you have any questions. Once you sign the loan disclosures, we can close in as little as 7 days. The loan disclosures typically include:
- Information on all costs and expenses related to the loan
- Projected monthly mortgage payment
- Estimated funds you’ll need to bring to the closing table
To protect your investment, we require you to maintain current home-owners insurance. At contracting you received our preferred vendors list, which includes agents who specialize in owner-finance buyers, so you can select your best option. To help limit the upfront cost you are allowed to pay the first year premium monthly instead of the whole year at closing. Your monthly payment will include both property taxes and insurance for the following years to ensure active insurance is always protecting you. Once the insurance cost is finalized, we can finalize the details for the loan.
The closing disclosure provides the same information as the Loan Estimate but in final form. It contains the locked-in costs of your loan and the specific amount you’ll need to pay at closing. Be sure to review the document and compare it with the loan disclosure, as the numbers have likely changed.
After you have reviewed all disclosures and documents we are clear to close. We work with a leading title company in Dallas that will act as our escrow agents and ensure all paperwork is accurate. As our buyer you have the option of meeting with our title company in person or doing the closing remotely. If you choose they will send the documents via email along with a FedEx label. You will need to send the signed and notarized documents and your check covering closing costs back to the title company via FedEx. Once the title company collects all of our signed documents they file the deeds and other paperwork and then the transaction will be completed. CONGRATULATIONS, THE HOUSE IS NOW YOURS!
We use Highpoint Servicing, a loan servicing company, to manage all aspects of the loan including payment collection and delivery of all monthly and annual statements. They will be in touch with you after closing to get you all set up. The loan servicer will be your main point of contact moving forward for any loan-related issues.
If you have any questions, please email us at email@example.com.