Can You Do Owner Financing in Campbell CA with a Mortgage?

We Buy Houses In Campbell California. Do you have a house to sell? Perhaps you’re thinking about selling, and maybe you’re thinking about seller financing. But if you have a mortgage on your house, you might be wondering, "Can I do owner financing in Campbell CA if I have a mortgage on the property?" We are homebuyers in Campbell and we get this question a lot so we decided to answer that question here... Keep reading in this blog post and we’ll answer that question and give you some strategies to move forward…

You Have Options In Campbell CA

Homeowners who are thinking about selling have several options. They can list their home through an agent, or they can list it themselves, or they can sell directly to a buyer. And, many homeowners are discovering a simple strategy called “owner financing” or “seller financing” that allows them to sell their home to a buyer and collect regular payments that pay off the house:

The buyer pays a down payment
The buyer pays regular monthly payments
When the agreed-upon price is paid, the title reverts to the buyer

Homeowners love it because it’s a great way to sell and a great way to find even more buyers – including those who might not be able to get traditional bank financing. Property buyers love it because it means more choices for them and they don’t have to necessarily impact their credit score to get a house. If you own your house outright, you can do a seller financing agreement. But what happens if you have a mortgage? Maybe you’re wondering, “Can I do owner financing in Campbell CA if I have a mortgage on the property?” The short answer is: it’s complicated.

Seller Financing With A Mortgage In CA

In some states, you can create something called a “wraparound mortgage” in which you extend a mortgage to a buyer (usually at a higher rate of interest) while still paying your own mortgage to the bank. However, this is not legal in all states and all situations, and there are additional clauses that you should be aware of.

You Have Choices In California

If you're unable to sell your house by owner financing because of a mortgage, you have other options... An alternative that might work for you is called rent-to-own, which has some similarities (such as ongoing payment and you own the house) and some differences (there might not be a down-payment and the buyer needs to qualify for a mortgage from a bank at the end of the pre-established rental term).

Sell My House In Campbell CA

If you are thinking about accepting owner financing but you still have a mortgage on your property, here’s another option for you: Get in touch with us and talk to us about your property especially if you are going to sell your house in CA. We are Campbell home buyers and we offer cash for houses in California. As experts in buying and selling real estate, we are aware of some options that you might not know about. We can walk you through those options and help you out ourselves or we can connect you with someone who can help you.