Owner Financing
Definition
- A real estate transaction where the person selling the property lends the buyer all or a portion of the money for the purchase.
Synonyms
owner financed, seller carry back, carryback loan, seller financing, private lending
Acronyms
OF, O/F, OWN
Related Terms and Acronyms
- For Sale By Owner (FSBO) — Acronym, Very Important,
- An arrangement by which a house's owner tries to sell the house without hiring a real-estate agent. Owners do this to avoid paying a commission.
➥ Can save the seller money by forgoing realtor fees. - Loan Servicing — Definition,
- Supervising a loan after it has been made. This could involve collecting payments, keeping accounting records, computing interest and principal, etc.
- Sale-leaseback — Definition,
- A transaction in which the seller transfers the title to the buyer, then rents the property from the new owner. Generally not done in Canada, more an American practice.
- Seller Carryback — Definition,
- A form of financing in which the seller of a property accepts a down payment and agrees to accept payments until the property is paid for.
- Vendor Take Back — Definition,
- Where the seller of the property provides all or some of the financing in order to sell the property.
