Frequently Asked Questions
At The Creative Home Offer, we know selling a home can feel overwhelming, especially when exploring creative solutions. Below, we've answered some of the most common questions we get from homeowners just like you.
1. "Your Price; Our Terms" – What does this mean?
At The Creative Home Offer, we understand that many homeowners struggle to sell their properties because they are unwilling to lower their asking price. Rather than forcing a price reduction, we offer creative financing solutions that allow sellers to keep their price while working within our terms to create a win-win outcome. By structuring deals this way, we help sellers achieve their financial goals while ensuring the transaction remains feasible for both parties.
2. What if you could be the Bank?
Banks hold the most power in real estate transactions—but what if you could take that role? Seller financing allows homeowners to act as the lender, meaning instead of receiving a lump sum at closing, they finance the sale themselves and collect payments directly from the buyer. This strategy removes the need for a traditional mortgage lender, making the process smoother, faster, and often more profitable for sellers who are open to creative financing options.
3. Why should I become the Bank?
Becoming the bank through seller financing comes with several key:
✅Faster Sales Process – Traditional financing can take weeks or months to close due to bank approvals and underwriting. With seller financing, deals can close in a matter of days, helping you move forward more quickly.
✅Lower Closing Costs – Since banks and traditional lenders aren't involved, many fees associated with conventional loans (appraisals, underwriting fees, loan origination fees, etc.) are eliminated. This means more money stays in your pocket at closing.
✅Higher Overall Profit – Instead of accepting a discounted price or lowball cash offer, seller financing allows you to receive full asking price (or even above market value) while earning interest on the loan, creating an additional income stream.
✅Flexible Terms – As the lender, you control the loan terms—including interest rates, payment schedules, and loan duration—allowing you to create a deal that fits your needs.
✅Steady Passive Income – Instead of receiving a lump sum, you get monthly payments, providing a consistent income stream over time. This can be a great option for retirees or anyone looking for reliable cash flow.
4. What are my risks when I become the Bank?
Like any financial agreement, seller financing does carry some risks, but The Creative Home Offer has multiple safeguards in place to protect sellers from potential pitfalls.
🚨Risk: Buyer Defaulting on Payments
While the risk of a buyer missing payments exists, we mitigate this risk through multiple layers of protection:
A Deed in Lieu of Foreclosure – This agreement ensures that if payments ever stop, ownership of the property is automatically returned to you without costly foreclosure proceedings.
A Promissory Note – This legally binding document outlines the exact terms of the agreement, ensuring full enforcement of payment obligations.
Third-Party Loan Servicing – To increase security and transparency, all payments are processed through a licensed third-party loan servicing company. This ensures payments are properly tracked, eliminating any confusion or mismanagement.
💼All contracts and paperwork are professionally drafted by a licensed title company, ensuring that both the seller and buyer are legally protected throughout the process.
5. What is a Subject-To transaction?
A subject-to deal means we buy your property while keeping your existing mortgage in place — we take over payments, but the loan stays in your name. This method allows us to provide fast, flexible solutions for homeowners who need to sell quickly without going through traditional financing hurdles.
This strategy is completely legal and recognized by the IRS, appearing on HUD settlement statements (lines 203 and 503). If you’ve never heard of it before, don’t worry—many investors and even agents or brokers haven’t! But it’s a well-established approach that has helped thousands of homeowners avoid long drawn-out listing in the market, foreclosure, and walk away with peace of mind to move forward without hassle.
6. How am I protected as a seller?
We understand that leaving your mortgage in place might seem like a risk, which is why we put protections in place for you. These include:
A Deed in Lieu of Foreclosure, which allows you to reclaim ownership if we ever stop making payments.
A Promissory Note, which ensures our agreement is legally binding and enforceable.
Third-Party Loan Servicing, which adds another layer of security by tracking payments.
All paperwork is drafted by a licensed title company, ensuring transparency and protection for all parties involved
7. Do I make payments to you, then you pay my mortgage?
Nope! We handle everything directly. To make things seamless, we set up payments through a professional loan servicing company — a neutral third party that collects and processes payments, ensuring everything is handled properly. This gives you peace of mind that your mortgage is always taken care of without any extra steps on your end.
8. What happens if you stop making payments?
While we pride ourselves on always fulfilling our commitments, we want you to feel protected in any situation. In the rare event we ever stop paying (say, we were abducted by aliens 😆), our agreement ensures that
The home immediately transfers back to you through the Deed in Lieu of Foreclosure.
You keep all the payments we’ve already made.
You retain full ownership of the property without any foreclosure issues.
Simply put — you win either way!
9. How do I get started?
We make this process as simple as possible. To craft the best offer for you, we’ll need a few key details:
📍Property Address
💰Remaining Loan Balance
📊 Interest Rate
🏦Monthly Mortgage Payment
🔧Major Repairs Needed
Simply send us this info via email, and we’ll take it from there!
10. What happens after I send my property information?
Once we receive your details:
✅ We’ll review your situation and may reach out with a few follow-up questions.
✅ We’ll craft a personalized offer that fits your needs.
✅ If you like the offer, we move quickly to close—on your timeline.
✅ If you decide not to move forward, there’s absolutely no obligation!
We believe in win-win solutions, and we’ll never pressure you into a deal that doesn’t work for you.
11. How does this affect my Debt-to-Income (DTI) ratio if I want to get a new mortgage?
Great question! Many homeowners worry about how this transaction will impact their ability to qualify for a future loan.
Here’s the good news: If you are not the one making mortgage payments, lenders can exclude that debt from your DTI—as long as:
The party making the payments (us) is legally obligated on the loan.
The payments have been made on time for at least 12 months.
You are not using rental income from the property to qualify for your new mortgage.
To exclude the mortgage from your DTI, the lender will require 12 months of payment history, which we ensure is professionally tracked through our loan servicing company.
Still Have Questions?
At The Creative Home Offer, we are committed to helping homeowners navigate the complexities of real estate transactions with confidence and ease. If you're interested in learning more about seller financing or creative selling options, contact us today!
📩Contact Us Here: [email protected]
📞Call or Text: 510-443-3300
At The Creative Home Offer, we believe selling your home should be stress-free and beneficial for everyone.
Let’s find the best solution for you! 🚀
