“We are the very first company in the country to standardize the seller’s financing process, to put a wrapper around it, to burn it and name more,” Leahy said Housing. “And we show sellers how to get more money for their house, and we show buyers how to buy more at home for less money.”
Modern bridge for buyers, sellers
Seller financing, a method in which a home seller offers the buyer direct financing, saw popularity in the 1980s and 90 when traditional interest rates rose. Nowadays Leahy sees a similar affordability crisis.
“Why has the real estate market stuck at the moment? Most people think it is because of the interest rates,” said Leahy. “Every buyer I ask:” Could you buy a house today if you could get a rate of 5% without points, streamlining insurance, closing quickly? ” Each of them says, “Absolutely.” ‘
More’s Model offers a short-term bridging lending mastal for about three years that is designed to give buyers the time to refinance or to protect permanent financing.
“We have done them as short as six months and as long as seven years. It is completely dependent on the buyer and seller,” said Leahy. “But we recommend three years as a starting point.”
According to Note that investorThere were 89,890 real estate transactions completed in 2024 with the help of sellers financing, and from 2023. This turnover represented $ 30.3 billion in volume, an increase of 8% on an annual basis.
In the past decade, the number of deals funded by sellers is consistently ranging between 83,000 and 116,000 a year.
More than two -thirds of last year’s transactions took place in only 10 states, with Texas in itself already 25.1% good. Seller financing includes residential, commercial and land transactions, whereby residential is 63% of all deals in the past three years, the investor of investors reported.
Customer profiles
Although the affordability problem influences a wide range of buyers, there is currently more aimed at houses of lasting houses.
“Our target group is $ 600,000 and higher,” said Leahy. “It seems that people who buy $ 600,000 and have a financial literacy where they get it right away. It seems that (buyers of cheaper houses) simply do not have the 20% to put down.”
Leahy emphasized that the approach to his company helps individuals that do not fit into the traditional credit form.
“I have helped many divorces that have terrible credit and people who have been from the bankruptcy for a few months come in a house. Credit score is not everything,” he said. “They have $ 500,000 in the couch, they earn $ 200,000 a year, they have their things together. They just let life happen. Maybe a car accident or a similar event they have wiped out.”
Bad rap for wraps
In the center of the range of More is the legal structure that is known as an seller financing film – or ‘wrapper mortgage’.
“From 2007 to 2013, Wraps got a really bad rap because the sellers got into financial trouble and kept the buyer’s money and did not make the mortgage payments,” explained Leahy. “Eventually the house went into the shield. Buyers who had never been late were shielded.”
To prevent these problems, more professional services and legal guarantees integrate.
“We have a service company that comes in,” said Leahy. “We have a law firm that has been closed more than 25,000 of these transactions and has never had a clause from the sale.”
According to Leahy, his team includes 16 full -time professionals and three separate law firms who have built the program with supervision of industrial lawyers and regulatory experts.
“In 2022, the State Texas became the first state in the US that adds seller financing and wrappers to the Texas Property Code,” he said. “I took that framework and used it as a basis for the entire United States. This can solve so much pain in the entire country for affordability.”
The best of both worlds, Exp partnership
The idea behind Meer is rooted in Leahy’s extensive mortgage background.
With more than two decades of experience and more than 300,000 transactions under his belt, Leahy said he wanted to merge an institutional credit structure with the flexibility of creative financing.
“What I did is that I have married and brought the best practices of conventional lending and best practices of seller financing,” he said.
Next week more will be formally launching seller financing partner Expat -The high -quality division of Expel Realty.
Leahy said that this rollout will help introduce the program to more sellers of luxury properties that have difficulty finding qualified buyers in a tight credit market.
“Every buyer is approved in advance by more loans,” Leahy explained. “We structure the transaction, ensure that our law firm is legally, in accordance with, enforceable, then we bring the transaction together.”
Rates for buyers via More’s model usually float between 3.99% to 4.25%, depending on the underlying mortgage and flexibility of the seller.
“There are tens of thousands of sellers who want to offer you an interest under 5% today,” said Leahy. “Why are you waiting?”
