Whether you want a fast sale, steady monthly income, or help navigating a mortgage payoff, this platform guides you to the best options for your situation. You will understand the math, the protections, and the structure behind every offer without needing any creative finance experience.
Our creative financing education and tools are designed for everyday homeowners and real estate agents who want to understand seller financing, subject to deals, and creative finance solutions without being overwhelmed by confusing investor language.
Our tools will help you:
If you've ever thought "Can I even sell my house like this?" then you are in the right place.
In almost every case, you can use creative finance even with an existing mortgage.
Most homeowners have never been told this, but you can usually sell your home using creative financing structures even if you still owe money on it.
With creative finance, the buyer either takes over your mortgage payment (known as Subject-To), you act as the bank for the full price (Seller Finance), or you combine both approaches (Hybrid) to maximize your payout.
Almost every other mortgage type is allowed.
Seller financing and creative finance are some of the most powerful and misunderstood tools in real estate. Instead of selling your home the traditional way through banks, inspections, repairs, and long approvals, creative finance lets you sell for full value while creating monthly income through investor-friendly terms.
Here's how seller financing and subject to deals work in plain English.
Seller financing (also called owner financing) simply means you allow the buyer to pay you over time instead of getting a traditional bank loan.
People choose seller financing when they want to:
These are the main terms you need to understand in order to do one of these deals.
These are the main ways sellers can sell their house without a bank. Each option works for different situations and different goals.
What it is: Subject-To means the buyer takes title to your property and starts making your current mortgage payments while the loan stays in your name. You no longer make the payment yourself - the buyer pays it for you as part of the agreement. This is a pure debt-relief structure where you are relieved of the payment obligation.
Key characteristics:
When this works best:
What it is: Seller Finance means you act as the bank. The buyer pays you each month for the purchase price of the home instead of getting a loan from a traditional lender. There is no existing mortgage remaining on the property - either the home is already paid off, or your mortgage is paid off at closing.
Key characteristics:
When this works best:
Variation: Equity Carry
Equity Carry is a type of Seller Finance for sellers with high equity (usually 40% or more). The property is placed into a trust, and the buyer purchases your equity over time. You receive monthly income for your equity while keeping a small share of ownership inside the trust for additional protection. This is still classified as Seller Finance because there is no underlying mortgage remaining - you are simply financing your equity to the buyer.
What it is: A Hybrid deal combines both Subject-To and Seller Finance. The buyer takes over your existing mortgage payments (the Subject-To part), AND you also finance your equity through a separate note (the Seller Finance part). This means you receive the benefit of debt relief on your mortgage PLUS additional monthly income and/or a balloon payment for your equity.
Key characteristics:
When this works best:
Variation: Wraparound Mortgage (Wrap)
A Wraparound Mortgage is a type of Hybrid deal where the buyer makes one simple monthly payment that covers everything. Instead of making two separate payments (one for the mortgage takeover and one for your equity), the buyer pays you a single combined payment. You then use part of that payment to pay your underlying mortgage and keep the rest as income. This is still classified as a Hybrid because it involves both an existing mortgage AND seller financing - it just simplifies the payment structure.
No. The home is sold "as-is." The buyer handles future repairs.
Payments stay current. You're not writing the check, but the loan remains in good standing.
No, it actually helps. When the buyer takes over your payment, the income you receive completely offsets the debt on your DTI. You'll often qualify for your next mortgage faster, not slower.
Yes. Seller financing is legal and used nationwide. The key is having clear, written terms.
Both are handled exactly the same way banks handle them:
1. The buyer makes one monthly payment to a licensed loan servicer
This payment includes the underlying mortgage payment plus escrow for taxes and insurance.
2. The servicer pays your taxes and insurance automatically
They do not rely on the buyer remembering. Payments are made on schedule every year, and the servicer provides monthly proof that all accounts are current.
3. You receive full transparency
You get a login and monthly statements showing:
4. Insurance policy stays in place naming everyone who needs protection
The policy lists:
So everyone is protected and notified of changes.
This setup is safer, more transparent, and more reliable than most landlord/tenant setups or even many traditional closings.
Deals include a deed-in-lieu of foreclosure protection, meaning if payments stop, the home reverts to you quickly. You keep all money paid so far.
The deed of trust protects you. If the buyer does not refinance or pay off the balloon payment at the end of the term, the property goes back to you.
Here's how it works:
This is why seller financing can be a great deal for sellers. If the buyer pays off the balloon, you get your full price. If they don't, you get the property back after receiving years of payments. Either way, you're protected.
Creative financing always uses a professional third party to protect both the seller and the buyer. In our system, two different neutral parties are involved: one handles the monthly payments, and the other holds the deed inside the land trust.
A licensed loan servicing company collects and distributes all payments. This protects the seller by making sure the existing mortgage is paid on time and removes the buyer's ability to "stop paying" without the seller being notified.
A servicing company typically:
This is the professional way creative finance deals are structured and provides transparency and accountability.
In our system, the property is placed into a land trust, which helps avoid triggering the due-on-sale clause because ownership does not publicly change. The trustee is a neutral party who legally holds title on behalf of the beneficiaries.
The trustee can be:
Inside the trust:
The trustee does NOT collect payments. They only hold title in the trust.
The title or escrow company prepares closing documents, handles payoffs, and records necessary items, but they do not handle ongoing payments or hold the deed after closing.
Most mortgages contain a "due-on-sale" clause. It simply means the bank can review or call the loan due if ownership changes.
In reality, banks almost never exercise this right as long as the payments continue on time. They care far more about receiving their monthly payment than about who is actually making it.
Our structure is specifically designed to avoid this issue. We use a trust where:
Because the trust still includes the seller and the loan remains current, this approach is widely used to keep lenders comfortable and avoid due-on-sale conflicts.
Key takeaway: Sellers can usually use creative financing safely, even with an existing mortgage, as long as the loan stays current and the proper trust structure is followed.
The original bank is always in first position if there is an existing mortgage. This does not change with seller financing, and we do not pretend it does.
Our goal is not to move the bank out of first position. Our goal is to protect you by:
This honest approach gives you real protection. The bank stays in first position. The loan stays current. And you have clear paperwork and fast remedies if something goes wrong.
No. Your equity is protected through three layers of safety:
1. Insurance always pays off the first mortgage first
This is the same whether you sell creatively or traditionally. If the bank is owed money, the insurance payout clears that loan before anything else.
2. Your remaining equity is paid from the insurance proceeds
The property is insured at full replacement value, so in a normal loss event there is more than enough insurance to cover both the first mortgage and the equity note you hold.
3. If insurance ever fell short, the buyer still owes you the balance
Your equity is secured by a legal promissory note. Even if the property disappeared, the debt does not. The buyer continues making payments until the remaining balance is satisfied.
Plus: Professional oversight and documentation
Title is held inside a trust with a third-party servicing company making all payments for complete transparency and documentation. You are never left guessing.
This is why experienced sellers and banks are comfortable with hybrid/second-position structures. The insurance, the trust, and the promissory note all work together to protect you.
If there is an existing mortgage on your property, the bank is always in first position. No matter what structure we use (trust, LLC, or anything else), the bank stays first. We do not pretend to change that. Instead, we focus on protecting you in the ways that actually matter.
How we really protect you:
This is honest and safe. We do not try to play games with lien positions. Instead, we give you control, fast remedies, and clear paperwork. The bank stays in first position, the loan stays current, and you have the tools to take action if something goes wrong.
Answer these simple questions to see exactly how your creative finance terms look from an investor's perspective and whether your property is likely to attract strong offers using seller financing or subject to structures. If you need help understanding your results or have questions about creative finance, contact one of our specialists here.
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