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Seller Financing: How It Works and Who It Helps

Seller Financing: How It Works and Who It Helps




With rising interest rates and tougher loan approvals, more buyers and sellers in Dallas-Fort Worth are turning to seller financing as a creative, flexible alternative to traditional mortgages.

At Mac Does REI, we’ve helped countless homeowners and investors use seller financing to unlock deals that banks would never approve.

Here’s how it works — and why it might be the right move for you.

What Is Seller Financing?

Seller financing (also called owner financing) is when the seller of a property acts as the bank and lets the buyer make monthly payments directly to them, instead of going through a traditional lender.

Basic Setup:

  • The seller and buyer agree on a purchase price, interest rate, and payment terms
  • A promissory note and deed of trust are created
  • The buyer takes possession while paying off the balance over time

Who Benefits From Seller Financing?

Homeowners:

  • Sell faster, especially to buyers who don’t qualify for traditional loans
  • Earn monthly income from interest
  • Move on from a property without waiting for bank delays

Buyers:

  • No credit check or bank approval required
  • Faster closing
  • Opportunity to buy a home when banks say no (self-employed, new credit, etc.)

Real Example in DFW

We recently helped a seller in Mesquite who was relocating out of state. The buyer had solid income but couldn’t qualify for a mortgage yet. We structured a seller finance deal with:

  • $20,000 down
  • 30-year amortization
  • 7.5% interest

The seller got cash up front and monthly payments — the buyer got a home.

Why Seller Financing Makes Sense in 2025

  • Interest rates are still high
  • More buyers are being denied loans
  • Off-market deals are growing

If you’re selling a home free and clear or with low debt, seller financing can help you sell faster and make more over time.

Risks to Know (and How We Mitigate Them)

  • Buyer defaults? You can foreclose.
  • Need the cash now? Consider a note sale later.
  • Paperwork? We work with attorneys and title companies to structure everything legally and protect both parties.

Seller financing isn’t just for investors — it’s a powerful tool for everyday homeowners and buyers who need a different path.

Want to know if seller financing will work for your situation? Reach out to MacDoesREI.com — we’ll break it down in simple terms.

 home buyer

Want more real estate tips? Subscribe now and check out macdoesrei.com!



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