ABQ-Owner Financing
(505) 463-5489
  • Email
  • Facebook
  • Twitter
  • Home
  • Reviews
  • Search Properties
    • Search All Owner Financed
    • Search by Neighborhood
    • Featured Listings
    • New Listing Alerts
    • User Login
  • Buyer Education
  • About Us
    • About Us
    • Links
    • We Now Have HARD MONEY!
  • Contact
  • Refinance Center
  • Sell
  • Blog

Rising Rates = Rising Real Estate Contracts

April 23, 2012 by tschubert Leave a Comment

We all know what is coming down the pipe. Rates will rise in the future. This is going to be interesting for individuals
that are selling their homes and have potential buyers that are not able to qualify due to “debt to income” ratio issues. When mortgage rates increase more and more buyers are limited to the amount of home that they are able to purchase via a traditional lending institution, because the money that they are borrowing is going to cost more. Owner Financing can offer a potential home owner the opportunity to purchase a home that they desire vs. a home that they are forced to buy with traditional financing. For example, if the market rate is 7% on a 30 year conventional mortgage, and a seller refinanced the home in today’s market and obtained a 4% interest rate, the seller could offer the buyer a rate of 6% and “Beat the Bank”. This allows the buyer to gain access to the home with out bank qualification, and the seller to make a spread on the amount financed of 2%. Its a potential win-win situation.

Filed Under: Uncategorized

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

New Listing Notifications
Search
Owner Financed

Categories

  • Uncategorized

ABQ-Owner Financing

BHHS NM Properties
6711 Academy Rd NE Suite B
Albuquerque, NM 87109

(505) 463-5489 (Direct Line)
(505) 798-6355 (Alt. Line)
(505) 720-1171 – Si Hablo Espanol
(505) 798-6300
Contact Us

ABQ-Owner Financing

Our goal is simple, “Place GREAT people in GREAT homes.” Our team has over 10 years in the Mortgage Banking industry as well as 17 combined years in Commercial and Residential Real Estate. Meet Us

  • Email
  • Facebook
  • Twitter

sitemap   •   admin   •   ©2023 All Rights Reserved