Selling Your House For Sale By Owner in Pensacola, But Not Getting The Results You Had Hoped For?
Sprinkle Some Magic FSBO Glitter On That Property To Sell Your House Faster in Pensacola with Owner Financing!
That’s right Pensacola homeowners… Magic FSBO glitter. Works like a charm!
If you’ve got a distressed property in Pensacola and need to sell fast, you might run into a few common problems. Real estate agents usually want you to fix things up before listing, which most distressed sellers simply can’t afford. If you try selling it yourself (FSBO), everyone wants a discount. That’s where folks like me—Steve with Sell My House Fast Pensacola LLC—can step in and make you a fair, fast cash offer.
But what if you’re not ready to sell for cash just yet?
There’s another path that most people don’t know about: it’s called owner financing and you’ve probably heard of it, but ignored it or brushed it aside.
What Is Owner Financing?
Owner financing (also called seller financing) means you act as the bank. You let a buyer move into your house and pay you monthly, with interest, instead of them getting a traditional mortgage. This can help you sell faster and often for a better price—especially in a slow market.
It’s a great way to solve your own financial stress quickly. You can collect a solid down payment, move out, and rent a new place, while your buyer pays monthly like a tenant. Except—they’re working toward owning it.
Here’s a quick guide to doing it right:
1. Screen Your Buyer
Don’t skip this step. Have them fill out an application with their job info, credit, references, and financials. Then double-check everything. You need to know they can actually afford the monthly payment.
2. Set a Fair Price
Just because you’re in a tough spot doesn’t mean you should give your house away. Look at market value and stick close to it.
3. Get a Decent Down Payment
Ask for at least 10%–30% down. This shows the buyer is serious and gives you some upfront cash. Try not to go below 5%—you still need to cover your own mortgage (if you have one) or put something in your pocket.
4. Figure Out the Monthly Payment
Make sure it’s enough to cover any mortgage you still owe, plus a little profit. Don’t undercut yourself. This is supposed to help you out of a tough situation.
5. Add Interest
Since your buyer couldn’t get bank financing, you’re taking the risk. Charge a slightly higher interest rate than a typical lender—just a couple points above average is fine. You’re giving them a shot and protecting yourself.
6. Plan for Default (Just in Case)
If the buyer stops paying, you can take the property back—just like a bank would. Be sure the paperwork covers this and act quickly if things go south.
7. Put It in Writing
Use a real contract, and make sure both sides understand the terms—especially the “balloon payment,” where they’ll eventually refinance and pay you off in full (usually within 3–5 years). Get a real estate attorney to help with the paperwork.
Is Owner Financing Right for You?
Owner financing works great if:
- You’re behind on payments and need a way out
- Your house needs work and won’t sell the traditional way
- You own your home outright but want to make more money over time
- You’re stuck in a slow market
You don’t have to lose your home to foreclosure. And you don’t have to pay for major repairs just to list it.
Final Thoughts
If you’re stuck with a problem property in Pensacola, know that you do have options. You can hire a local real estate attorney to put a deal like this together for you. Selling to a local cash buyer like me is always an option and I recommend selling FSBO’s with owner financing it you want to sell your Pensacola house quickly for full asking price. But if this seems too overwhelming for you I can step in and buy the house and work with you. Owner financing can be a real win-win and it is a viable option, don’t dismiss it.
Unpopular opinion... When I see our local Pensacola Craigslist “for sale for owner” posts and I see the seller write “no seller financing” at the end of the advertisement, I know that they are simply trying to skip the real estate sales commission. They really aren’t highly motivated to sell their house urgently but usually are too stubborn to to accept a discounted price, not realizing they Pensacola homebuyers who see a FSBO house expect a discount. Most of these sellers are blind to the fact that they could get full selling price OR EVEN MORE than the appraised value of the house if they offered owner financing. 🙂
Need help figuring out your next move?
We Buy Houses in Pensacola!
Call me, Steve, at Sell My House Fast Pensacola LLC — (850) 400-4300. I’ll give you honest, local advice and help you find the best path forward, no pressure.