{“en”:”Real Estate Investing Secrets-Owner Financing is One that Everyone Should Know About Do you wish to diversify your investment portfolio? Many people are due to the volatility of the stock market. Real estate is a great way to do so and there are many real estate investing secrets that you can make use of. One that you may wish to get started is owner financing. Did you know that properties financed by owners attract more potential buyers and sell faster than those properties which are financed by traditional lenders? Make use of this creative real estate investing technique and get started today before the housing market makes a complete recovery and you find you cannot afford to do so. Real Estate Investing Secrets | Why Owner Financing? When it comes to real estate investing for beginners, you may be under the impression that it is not difficult to get a mortgage when the housing market is good. Nothing is further from the truth. Banks have been burned by the sub-prime market so they are hesitant to lend to anyone right now. Even millionaires may find it difficult to get a home loan if the mortgage is a large one.

Everyone is subject to lending requirements unless owner financing is an option. For this reason, more sellers are choosing to offer this option so the deal can be closed. Home prices are falling as are interest rates. There are millions of homes on the market that you can get for a great price as the banks want to get them off of the books. If you purchase these properties, you have to be able to sell them also.

This is where owner financing comes in. The banks may be willing to sell you a property, but they arenu2019t as willing to lend others money to buy it from you. There are advantages and disadvantages to offering owner financing. If you can wait at least five years to build equity in the home, this option may be right for you. With owner financing, you will see a positive return on a minimal investment and yet wonu2019t have to deal with being a landlord and all it entails.

You not only get the down payment money up front, you will have a monthly income from the property (if you own it outright) and you will get the balance when the purchaser refinances the home. The home will be better taken care of and the purchaser is responsible for making any repairs and paying insurance and taxes. You donu2019t receive the total amount up front so this may not work for certain situations. In addition, you have to be prepared so, if the buyer does default, you can make the payments to the lender and start the foreclosure process which can be expensive.

If the buyer does leave the property, you must make any repairs in order to sell it again. If you wish to get into real estate investing, short sales and fix and flip houses are often good bets although fix and flip homes do have some issues. Wholesale properties are harder to find and you may discover it is difficult to locate a buyer. If you wish to go this route, now is the time to do so before the housing market goes up again. When you see your return on investment, you will be glad you did.. “}