An owner financing contract does not count as an agreement of purchase and sale but is an additional document used solely for owner financing. It could be attached to a purchase and sale agreement.
This contract establishes that, in connection with the Owner selling and the Buyer purchasing the Property, the Owner shall finance the balance of the purchase price for the Property for the Buyer after the Buyer delivers the agreed upon down payment of $__________________ (hereinafter "down payment").
The down payment amount is to be delivered no later than __________________________, 20_____. Failure on the Buyer's part to provide this down payment to the Owner nullifies this contract in its entirety.
The total purchase price of the Property is $__________________, as agreed to by the Parties to this contract.
The Buyer is/is not (choose one, delete the other) obtaining financing for a portion of the purchase price of the Property from a third party, such as a bank. The Buyer must notify the Owner of any amount of financing obtained from any third party and provide the full name and contact information of the third party within 30 days of obtaining any such financing.