With changes to the economy that we’ve seen in recent years, many homeowners are discovering that there are new innovative ways to sell their homes that weren’t available before. Selling your house has never been easier! You no longer have to sell through an agent – you can sell on your own or you can even accept seller financing. If you’re wondering how to sell a house by owner financing in Kansas , keep reading this blog post and we’ll walk you step-by-step through the process…
Step 1. Decide whether you own the house outright or still have a mortgage
In some states, if you have a mortgage you may not be able to offer owner financing (but you can in other states). So the first step is to find out whether you have a mortgage or not.
Step 2. Consult a real estate attorney for help in creating an agreement
With seller financing, you are mainly acting as a bank. The buyer will give you a down payment and then pay you regular monthly installments until the house is paid off, and then it becomes their house. So make sure you talk to a real estate attorney to make sure that you are protected and obeying all federal, local, and state laws while also protecting yourself! Getting a real estate attorney is not a step you want to skip. (If you need the name of a good real estate attorney, get in touch with us and we can make an introduction.)
Step 3. Market your house online and offline
Once your paperwork is in place, you are ready to advertise that you have a house for sale. Be sure to let people know that you offer seller financing. There is no limit to how much marketing you should do – the more you can do, the better. Don’t estimate the power of digital marketing, most marketing is now done online the days of just throwing a sign in your front yard are slowly fading away. Using Social Media sites such as Facebook and Twitter can be very helpful to get the word out.
Step 4. Work with potential buyers
As your marketing gains the attention of potential buyers, work with them to show them through your house. When someone makes an offer on your house, negotiate the price and terms with them, and find the middle ground that will ensure a win/win situation. Sign the papers when you and the buyer reach an agreement. Nowadays if the house your selling has a virtue tour the chances of the house being solid increases so don’t hesitate to create a virtue tour of your house. Make sure you are approachable and making it as easy as possible for potential buyers to contact you.
Step 5. Collect the down payment and hand over the keys
Once you agree on a sales price and have signed the legal papers, collect the down payment and hand over the keys. In most situations, you will continue to own the house and collect payments until the house is paid off, then ownership transfers to the buyer.