When obtaining an Angelfish mortgage there is no bank involved. As the seller we will draft a private agreement between Angelfish and the buyer. A promissory note detailing the exact terms, interest rate, the down payment amount, the length of the mortgage, and the consequences should the buyer default on those obligations are clearly spelled out in the agreement. This allows the buyer to repay the loan amount in a specified period of time chosen by the buyer.

Angelfish mortgage loans can be short term, or extend for up to thirty-five years. There are many advantages to obtaining a private mortgage with Angelfish. Primarily, because there are only two parties involved, a seller-financed home can be easier to obtain and involve far less paperwork. As well,   since there is no bank underwriting and appraisals to deal with, the buyer typically can be approved for a higher loan amount. Also, the buyer avoids having to pay origination fees that are standard with all bank loans.

As the buyer, you should be aware of several factors that may be involved with obtaining an Angelfish mortgage loan.

Our interest rates will be slightly higher than the rates being offered by most banks.

Buyer should also expect to pay slightly higher sales prices for an Angelfish home when compared to the other homes in the neighborhood. This is because our homes are considered Luxury homes and have interior and exterior upgrades that are not common when compared to the other homes within the community.

All buyers will be expected to provide a down payment that’s comparable to the size, location, and list of amenities associated with the home they select. Down payment amounts will average between 8% and 18% of the sale price of the home. Any Down Payment Assistance provided to the buyer by Angelfish will not be factored into the down payment amount. Down Payment Assistance monies provided to the buyer can only be used to buy down the final sales price of the home.

Because our mortgage loans are funded by private investors, buyers should expect mortgage interest rates to range between 8.75% and 10.25% depending on the buyer credit history, the property’s value, employment income, down payment amount, and current economic conditions. These rates are subject to change with or without notice.

All home purchases will close with a licensed Atlanta attorney chosen by the seller. Angelfish recommends that the buyer consult with their own real estate attorney to review the sales contract and promissory note and any other documentation related to the transaction prior to the scheduled closing date. Each party will be solely responsible for paying their own share of the attorney’s fees and closing cost as required by law.