seller of owner financed home has not made payments to bank

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stillbella

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I am the buyer of a home of which I am purchasing through owner financing. Although I have a written contract, the home is still in the seller's name and he is to continue paying the mortgage company with my monthly payments. The problem is that I received notice in the mail from the mortgage company that he is behind in payments, but will not tell me how much or if the note is close to foreclosure since I am not on bank contract, and he is not returning my calls. My question is, if he fails to pay the bank, even though I am current on my payments to him, and the bank forcloses what are my legal options. But before this happens, would this fall under breech of contract on his part and would I be able to terminate the contract, be reimbursed my down payment, so that I can look for another home. I would much rather get out of this contract for fear of losing everything in the future. Please advise, desperate for any information you can offer.
 
Run! You can't "own" the home if he still has a loan on the property. "Owner financing" is usually only done when they own it free and clear and can hold a legal mortgage for the new buyer or if they carry a second for you. What you have mentioned sounds completely illegal to me and I'd get an attorney or real estate agent to look into this immediately!
 
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