Frequently Asked Questions
 | Will I have to take a discount when selling my
Contract or Note? |
In most instances, the seller will be required to take a discount when selling their seller financed receivable. However, structuring the note properly at the time of origination may minimize the amount of the discount. As a general rule of thumb, the higher the interest rate and shorter the term will result in a lesser discount amount. Freedom Financial has many purchase options, many of which are structured to minimize or eliminate the discount to you.
| What
are my out of pocket expenses when selling a Contract or Note? |
Freedom Financial LLC will pay the acquisition costs under normal circumstances when we purchase your seller financed receivable. These expenses consist of a property appraisal, title insurance, recording fees, overnight mail, and closing fees. Typically these fees run approximately $1,000.00 to $1,500.00.
| Will
selling my Contract have any effect on the payor? |
No, when you sell your contract or note the purchaser simply steps into the position you hold. In doing so, they are required to abide by the original terms of the contract. They cannot make any changes without the payor’s approval.
| The
payor on my Contract has had some credit problems in the past; will this
prevent me from selling my Contract or Note? |
Absolutely not! Freedom Financial will consider the entire “picture” when underwriting your receivable. If the buyer has a consistent payment history on the contract for at least a year, or has made a substantial down payment on the property; we can overlook most credit deficiencies.
| I
need a lump sum of cash, but also need the monthly income generated from my
Contract or Note. Can this be
done? |
Certainly! Freedom Financial LLC will take the time to understand your individual situation and needs. In doing so, we will structure a purchase of your contract that makes the most sense for you. This may mean selling only a portion of the monthly payment and retaining a portion (split payment purchase), or paying a lump sum at closing, and another lump sum payment on a future date specified by you – guaranteed.
| I
am tired of keeping track of the monthly payments and taxes and insurance,
but I don’t want to sell my contract.
Any suggestions? |
Contact Us and we will provide you with a list of Escrow Servicing/Contract Collection companies in your area that are willing to handle the servicing of your account for you. Additionally, if the unthinkable happens and you must foreclose on the property, we can provide a list of attorney's in your area to handle the foreclosure for you.
