MOTIVATED SELELRS include:
- New home purchase; can't recoup purchase costs
- Minimizes Price Discounting
- Investor; tax planning, spread proceeds, avoid capital gains
- Sophisticated Sellers; secure above market price and/or interest rate,
- Retirees; secure higher interest rate & fixed income on secured investments
- Deadline to purchase a New Home
- Relocating; or already relocation and paying on vacant property
- Fast closing (within 10 days from PCC)
Click here for Seller's Registration
MOVTIVATED BUYERS include:
- Bankruptcies; 10 years on credit report
- Buy more Home than with new loan
- Graduating college student; no credit
- Sophisticated Investors; No Investor FHA/VA
- New Business Owner; Less 2 years
- Divorced; no credit
- Bad credit
- Fast closing (within 10 days from PCC)
Click here for Buyer's Registration
Frequently Asked Questions Click here for answers to the most common questions.
Definitions
Wraparound Financing (Wrap):
Non–qualifying Seller financing designed to effectuate the purchase/sale of property without Buyer having to qualify for a new mortgage loan.
Wally Wrap™
Texas law compliant Wrap system proven over 20 years. Offered and administered by Wally Tingley, one of Texas' best known and experienced residential Real Estate attorneys.
WallyWrap™ - How it Works
Seller provides Buyer non-qualifying wrap financing for a maximum 5 year (balloon) period, without payoff of Seller existing mortgage.
Buyer provides cash down payment to negotiated Seller wrap financing. Within the max 5 year balloon period, Buyer pays off wrap financing (including Seller existing mortgage) by refinancing or sale of home.
Seller realizes deferred equity (if any) at payoff. Buyer has utilized wrap as interim financing to own property and sell or refinance into mortgage loan.
1. $100,000 Sale Price ($20,000 Seller Total Equity)
2. $10,000 Cash Down Payment (Seller Equity)
3. $90,000 Financing provided by Seller (Wrap Note)
4. $80,000 Principal Balance of existing mortgage (Seller Prior Note)
5. $10,000 Cash to Seller on payoff of 3. above = $20,000 Seller Total Equity*
6. Closing costs are negotiable but normally shared by Seller & Buyer.
WallyWrap™ - To Do List
BE A MOTIVATED Buyer and/or Seller
- Seller Motivations - URGENCY: Out of area move, divorce, job loss, behind in payments, medical expenses, impending new home closing, etc.
- Buyer Motivations - HAVE CASE: 2 years from bankruptcy, credit issues, new business owner, etc.
Provide deal points to our office. We will prepare and facilitate the exclusive Wally Wrap™ "no risk" contract. Parties attend "no risk" Pre-Closing Conference (PCC) for detailed explanation of Wally Wrap™, wrap financing dynamic, issues and procedures. On parties approval, closing is scheduled for 7 days or later.
If either Buyer or Seller chooses to terminate after PCC explanation, the contract is terminated at no cost to either party.
Parties pay closing costs that are MUCH LOWER THAN NEW LOAN CLOSING!!! Let us take you through the process. We are the Wally Wrap™ experts so you don't have to be.