2006-08-16 05:02:56 · 7 answers · asked by katrina l 1 in Business & Finance ➔ Renting & Real Estate
It is usually the bank, however I think we would need more details. For instance, if the owner of the house sold it to a buyer, but financed it for them. So the new buyers would pay back the previous owner instead of a traditional lender.
2006-08-16 05:10:38 · answer #1 · answered by Christopher 4 · 0⤊ 0⤋
The owner holds the mortgage because:
The note is your promise to pay monthly. The mortgage is the document that allows the lender or individual (if it's contract for deed which means renting to own) to take back the property without a lengthy legal process if you don't pay as agreed on the note.
That's what it means.
The owner who gives the loan to get the property (or rents to you taking monthly payments to ultimately be applied to the closing when you take title) whether it's a bank or an individual, always holds the mortgage.
Hope that helps.
2006-08-16 05:18:04 · answer #2 · answered by rightonrighton 3 · 0⤊ 0⤋
If your in a rent to own situation, it simply means that the owner is still on the mortgage, hopefully along with you, and you are making the payments to him instead of to the mortgage company.
2006-08-16 05:09:31 · answer #3 · answered by kim h 3 · 0⤊ 0⤋
It simply means that whomever holds the title, also carries the mortgage...the loan provided by a bank to purchase real estate attaches to the property and follows the title until repaid or otherwise.
2006-08-16 05:21:55 · answer #4 · answered by boston857 5 · 0⤊ 0⤋
just that. the owner instead of a mortgage company will hold the loan. Seller financing. It's not common, but does occur sometimes.
2016-03-27 04:30:01 · answer #5 · answered by Anonymous · 0⤊ 0⤋
The seller of the property is also the lender. Also sometimes referred to a "owner carry".
2006-08-16 05:36:46 · answer #6 · answered by Bostonian In MO 7 · 0⤊ 0⤋
They are the bank.
2006-08-16 05:07:55 · answer #7 · answered by realestatemichigan 3 · 0⤊ 0⤋