Franklin Farinas

I would stop paying the rent .

The rental agreement is between you and the owner. The mortage is between the owner and the lender. He is not paying the bank so why pay him. The owner could try to evict you for non-payment of rent but that would cost him money so why would he do that if he is going to lose the property anyway.

Once the lender owns the property they will serve you an eviction notice. However, there are ways to delay your move out and live there rent free.

Check with a property management firm in your area or a real estate attorney. They have a better understanding of the eviction process in your area and the rights you have as a tenant.

All the best, - Sun Aug 3 2008, 22:42

What price range are you considering for this purchase? You might be able to qualify for an FHA loan with only 3.0% down. There is a loan limit of $729,950 Check out my info website for more information: http://www.westside-realestate.info - Sun Aug 3 2008, 22:18

There are many variables in determining whether or not an FHA loan is feasible for you. or any loan for that matter. I certainly believe you can get an FHA loan given the information presented so far.

Check out my info website: http://www.westside-realestate.info There is some information there about FHA loans as well as a contact lender who can do the loan for you.

Good luck! - Sun Aug 3 2008, 22:09

Howl long have you been self-employed? Lenders usually like to see 2 years of income to determine your ability to repay the loan. What kind of credit card debt do you have? What kind of savings to you have for the downpayment? The best way to find out whether or not getting a loan is feasible is to consult with an established bank or loan broker. Let them know that you are considering making a purchase and want to know what would be required. Good luck! - Sun Aug 3 2008, 22:02

Your question is unclear to me.

What does the $35,000 at 11.0% represent? The first mortgage?

What does 50 represent? It is $50,000? Is it 50.0%?

If I understand you correctly, you owe the bank $35,000 with an interest rate of 11.0%.

A buyer is offering to purchase that property for $50,000.

You will keep the first mortage with the bank and providing owner financing for the balance. In this case it would be $15,000.

Does the $15,000 cover your closing expenses i.e. brokerage, escrow, title fees etc.

What interest rate are you charging for the amount financed? It seems to me that you should charge at least 11.0%.

Why is your first mortage at 11.0%? Is it an adjustable?

What is the usuary rate in your state, if any? It is the ceiling or highest rate that you or a financial institution can charge for a loan. Some states have no usuary rate.

There are so many variable to consider.

Best to consult with a real estate attorney.

All the best, - Sun Aug 3 2008, 10:45