Assume Any Loan

Presented by The Buck Law Firm, PC.

* 1109 Heatherstone Dr. Fredericksburg, Virginia 22407
(540) 785-2122 Fax (540) 785-5075

*  6800 Backlick Rd. Suite 205 Springfield, Va. 22150
(703) 451-5203  Fax (703) 451-5208

Subprime lending woes have led to a credit crunching over-reaction that makes qualifying for new loans very difficult.  In fact, a new loan is impossible for many people.  Let's face it - commercial lenders let us down.  They blew it and the consequences have decimated the housing market threatening the global economy.  

The good news is, “Buyers don’t need a new loan!”  There are lots of great low-interest loans already on the books.  What we need is a way to piggy-back on those existing loans - recycling them so we don't have to go to the well for new financing. Its time to dust off a trick from the past and learn how to move property using the existing loan.

We wrote the book on Contracts for Deed and have over 34 years experience with this exciting and unique way to sell property when financial markets fail.  You can learn more about us by clicking on the tab "Who Do I call?" to the left.  Email us at AskUs@BuckLawyer.com

Here’s how the Contract for Deed answers today’s challenges for both buyers and sellers.

PROBLEM: The few lenders who remain in business have tightened qualifications, increased down payments and restricted jumbo loans, investor loans and loans to anyone with less than perfect credit.  Lots of buyers are frozen out of the market - stigmatized by their own short sale or foreclosure.  The buyer can make the payments but can’t find a new loan.
ANSWER: Don’t get a new loan. Use the old one with a Contract for Deed. Forget financing contingencies, restricted programs and uncertainties.

PROBLEM: The house won’t appraise for enough to pay off the seller’s old loan and costs of sale.  A foreclosed house down the street sold for a ridiculously low price and now that has become the new standard in the neighborhood.  Appraisers are afraid to put a fair value on property.  Lenders won't make loans in areas that have been declared "declining markets."
ANSWER: Use a Contract for Deed to sell without a new appraisal. 

PROBLEM: Slow sales lead to higher inventory and sellers must do something to make their house stand out from the crowd.  Cutting the price is not always an option.
ANSWER: Offer a Contract for Deed and attract a wider range of buyers. Favorable financing also adds value to the transaction and can bring a higher price.

PROBLEM: The seller doesn’t want a short-sale or foreclosure to destroy his credit.  Maybe the seller doesn't qualify for a short sale because he has a good job and money-in-the-bank.  If the seller is an investor, or hasn't lived in the house for 2 of the last 5 years, he could get a 1099 for the short amount and face a huge IRS tax bill. 
ANSWER: Use a Contract for Deed and let the buyer keep the loan current until conditions improve.

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