What does this seller-finance deal actually cost vs going to a bank? Seller-finance offer calculator for Airbnb / STR investors. Side-by-side compare + draft term sheet for the seller. Excel + Google Sheets. Seller financing sounds great until you do the math. The seller offered 7% when bank rates are 7.5%. Sounds like a win. But the seller wants 25% amortization on a 5-year balloon — and you can’t qualify for a refi in 5 years if rates haven’t dropped. That “win” turns into a forced sale or default. This workbook runs the real math. Monthly payment, total cost over loan life, cash flow vs conventional financing, balloon-risk year. Plus a draft term sheet ready to hand the seller for negotiation. WHAT’S INCLUDED 📋 Conventional Baseline — 25%-down conventional terms (rate, term, P&I) 📋 Seller-Finance Inputs — proposed terms (down, rate, amort, balloon, term) 📋 Stabilized Cash Flow — projected NOI under each financing path 📋 Side-by-Side Compare — monthly payment, total interest, cash flow, year-1 IRR 📋 Total Cost Over Life — seller-finance often costs 5-15% MORE in total interest 📋 Balloon Risk Flag — if balloon, surfaces the refi-risk year 📋 Draft Term Sheet — hand to seller (or seller’s attorney) to start negotiations WHEN SELLER-FINANCE WINS · Seller wants out faster than the market is moving · You can’t qualify conventional (DSCR low, self-employed, ramp time) · Seller takes 5-6% rate where conventional is 7-8% · Flexibility on amortization (interest-only first 2-3 years) WHEN SELLER-FINANCE LOSES · Above-market rate (“but I’m taking the risk”) · Balloon arrives + rates haven’t dropped + your DSCR isn’t refi-ready · Total interest paid > equity gained over hold period
Related
- 5-Year Pro Forma Builder
- The Deal Analyzer
- Aspiring Host Bundle
- Refi-or-Sell Decision Matrix
- 3-Property Side-by-Side Comparison
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Format: Excel .xlsx + how-to PDF. Excel 2016+, Excel 365, Google Sheets compatible. Instant download after checkout. 14-day refund, no questions. Lifetime updates within v1.