Making an Offer on Land with Seller Financing: Steps to Follow

Creative Financing
1

I’m having trouble finding how to structure a seller financing agreement and how to make an offer? The seller is asking for 65,000 for 3 acres and its in a great area and has cherry oak trees and I want to see if there is a way to sell the trees to make money or add them to the deal

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@twoclutchtone it sound like you’re asking about two or three different issues:

  1. How to structure an offer to buy a property with seller financing.
  2. How to present the offer in a compelling way, so the seller will at least entertain the offer.
  3. How to determine the potential value of timber on a property.

Is that right?

For #1, it’s mostly a question of what numbers work for you, and ideally, they will also work for the seller. I use this calculator all the time to help me figure out what different scenarios can look like: https://www.mycalculators.com/ca/loancalcm.html

For #2, this is mostly psychological, and it’s crucial to have a conversation or two with the seller to understand what their needs are and why they’re selling. This will help you address their needs and structure your numbers in a way that will most likely give them what they’re after. Have you asked them why they’re selling? Why they want $65,000? What their timeline is? The deeper you can drill into their motivations, the better you’ll be able to give them what they want.

You might find some helpful info here regarding #3: https://retipster.com/timber/

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@retipsterseth Thank you and you’re absolutely right I am asking multiple questions and all over the place lol

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