If you are in the market to buy a home but looking to leverage your cash you may want to consider seller's who are open to doing a seller carry back. What exactly is a seller carry back? Instead of going through a traditional mortgage to buy a home the seller of the bank becomes the bank, in essence, and provides the buyer with an interest rate and terms for the amount that is to be borrowed. Typically, a certain amount of down payment will be required in order for the seller carry back to work, in most cases this can be anywhere from 10 to 20% of the purchase price.
Most of it depends on the sellers motivation and the amount of equity the seller has in the property. If the property is owned free and clear then you will have more negotiating room with looking to structure the deal. While looking for a client who requested seller carry back properties we found multiple sellers in the Laguna Beach area that were open to do seller carry backs. A couple of the homes were contemporary in design with price ranges between $2.5 to $3.5 million dollars in "The Village" area of Laguna Beach.
The Village area is a great place to find ocean view properties by the beach. Of course, there will be sellers in most prices range that will be willing to carry back a note but keep in mind that most properties under $1 million dollars in Laguna Beach are receiving multiple offers. In fact, the California Association of Realtors have recently reported that "nearly half of all California homes receive multiple offers" which is a big turning point from several years ago. For a complete list of seller carry back homes please contact us today.