Subject-To, Wraparound Mortgages, Lease Options, Contract-for-Deed
Ownerfi does NOT review, inspect, verify, structure, advise on, or guarantee the legality, compliance, or risk associated with ANY creative financing technique. You proceed entirely at your own risk.
Ownerfi Does NOT:
Any reference to seller financing, subject-to transactions, wraparound mortgages, lease options, or any creative finance structure originates SOLELY from the listing agent or seller.
Ownerfi is a platform that displays property information as provided by third parties. We do not:
Most mortgages contain due-on-sale clauses that allow the lender to demand full payment if ownership transfers. Subject-to and wraparound transactions may trigger this clause, resulting in loan acceleration and potential foreclosure.
Many creative finance deals include balloon payments—large lump sums due at a specific date. If you cannot refinance or pay the balloon, you may lose the property and all payments made.
In subject-to and wrap transactions, the seller retains title initially or existing liens remain. You may be making payments on a property you don't legally own, with no protection if the seller defaults on the underlying mortgage.
Dodd-Frank and state laws may require sellers offering financing to be licensed as mortgage loan originators. Violations can void contracts, trigger penalties, or result in criminal liability.
Creative finance structures may affect insurance coverage, property tax reassessment, homestead exemptions, and capital gains treatment. Consult professionals before proceeding.
Before entering ANY creative finance transaction, you MUST independently verify:
ALL creative finance structures MUST be reviewed by licensed professionals:
Licensed Real Estate Attorney
Review all contracts, explain legal implications, verify compliance with state laws
Residential Mortgage Loan Originator (RMLO)
Verify financing structure, assess Dodd-Frank compliance, evaluate risks
Title Company or Title Attorney
Conduct title search, verify ownership, identify liens and encumbrances
Certified Public Accountant (CPA)
Assess tax implications, capital gains treatment, depreciation rules
Do NOT proceed with creative finance without professional legal and financial advice.
Ownerfi bears ZERO liability for any consequences arising from creative finance transactions, including but not limited to:
YOU ASSUME ALL RISK ASSOCIATED WITH CREATIVE FINANCING.
Creative finance laws vary significantly by state. Some states have:
Consult a licensed attorney in the property's state to verify legality and compliance.
Final Warning:
By using Ownerfi, you acknowledge that you have been warned about the risks of creative finance, understand that Ownerfi provides no verification or guidance on creative finance structures, and agree to independently verify all information with licensed professionals before proceeding with any transaction. You accept full responsibility for all consequences of creative finance decisions.