Selling Your Mortgage-Free or Debt-Free Home: Lease Purchase and Owner Financing Options

Selling Your Mortgage-Free or Debt-Free Home: Lease Purchase and Owner Financing Options

 

If you own your home outright without any mortgage or debt on the property, you have some unique options when it comes to selling that can benefit both you as the seller and potential buyers. Two popular choices are a lease purchase agreement and owner financing.

 

Lease Purchase Agreement

 

A lease purchase agreement allows a buyer to lease your property for a defined period of time with the option to purchase it at the end of the lease. As the seller, you would retain ownership and title to the home until the end of the lease term, at which point the property would transfer to the buyer.

Here’s how it works:

  • The buyer takes over all costs and responsibilities associated with the property, including taxes, insurance, maintenance, and repairs. This relieves you of any liabilities.
  • The buyer pays you an agreed-upon monthly payment on top of the taxes and insurance they cover. This provides you with steady passive income.
  • The lease purchase agreement has a definitive end date when you must be cashed out or paid in full for the property. At this point, the title transfers to the buyer.
  • You receive monthly income from the property while waiting for the future lump sum payout when the lease ends. This can maximize your profits.
 

Owner Financing

 

With owner financing, you act as the bank and hold the mortgage on the property yourself rather than going through a traditional lender.

Here are the basics of how it works:

  • You agree on a sale price, and the buyer makes scheduled monthly payments directly to you over a set time period.
  • Payments usually cover only principal, maximizing your return by avoiding interest costs.
  • Full payment can be due in as little as 24-72 months. You can extend this further by mutual agreement if desired.
  • When the buyer makes the final payment, you sign over the title. The property is now theirs.
  • You receive steady income from the principal payments plus a lump sum payout at the end.

Owner financing allows you to sell the property faster, avoid realtor commissions, and receive a premium price. Since you already own the home outright, you have the flexibility of being the financier. Meanwhile, the buyer locks in ownership of the home through an affordable payment plan. It’s a win-win scenario for both parties.

 

Setting You Up for Success

 

If you have a mortgage-free or debt-free home to sell, explore your options around lease purchasing and owner financing. With the right agreement, you can maximize your sales profit while helping the buyer gain homeownership.

 

 

Take the Next Step Today!

 

If you own your property outright without any mortgage or liens, you stand to maximize your profit potential through alternative sale methods here at Fieldbrook Properties Solutions. Specifically, our lease purchase and owner financing programs are designed to provide mortgage-free sellers like you with premium payouts and flexible terms.

With our lease purchase program, you retain ownership while earning ongoing monthly income from the buyer plus a large lump-sum payout when the lease ends and transfers title. Our owner financing program allows you to act as the bank while the buyer makes scheduled payments over time directly to you.

These customized strategies help you earn top dollar on your equity without paying commissions or fees. We structure the terms to meet your goals. There are significant financial rewards to exploring these options versus a standard sale.

We would love to schedule a free consultation to go over how our lease purchase and owner financing programs can maximize your profit. Contact us today to start planning the optimal sale strategy for your debt-free property. Our experts can structure a deal that unlocks the full earning potential of your asset. Don’t leave money on the table – leverage your equity for maximum returns with our innovative programs designed specifically for mortgage/debt-free sellers.

Contact us now for a personalized consultation and let’s secure your future home together.

Schedule a Consultation



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