Seller Financing Risk Disclosure

Seller financing involves risk.

Extending credit to a buyer may result in partial or complete loss of principal, delayed payments, legal expenses, collateral impairment, foreclosure costs, and other risks.

Potential risks include:

• Borrower default
• Property value decline
• Economic downturns
• Environmental liabilities
• Insurance deficiencies
• Collateral deterioration
• Legal and enforcement costs
• Liquidity constraints

Seller Mortgage Capital may assist with transaction structuring, underwriting, servicing, collateral monitoring, and related activities; however, Seller Mortgage Capital does not guarantee borrower performance, repayment, property values, investment returns, or future liquidity.

All lending decisions remain the responsibility of the seller.

Sellers are encouraged to seek independent legal, tax, accounting, and financial advice before entering into any seller-financed transaction.