# Seller Financing

> Seller Financing serves a timing, documentation, collateral, or borrower profile outside ordinary channels

| Field | Value |
|---|---|
| Stable ID | `node:kiduna:real-estate-mortgage:alternative-finance:seller-financing` |
| Family | Alternative & Non-QM Finance |
| Domain | Economics |
| Era | Agentic Age |
| Kind | financial-instrument |
| Archetype | The Claim |
| Claim layers | empirical, cultural_historical, synthesis, interpretive, symbolic_divinatory |

## What it is

Seller Financing is a financial instrument in the Alternative & Non-QM Finance family, defined here by the function it performs in the property system rather than by label alone.

## What it actually does

Seller Financing serves a timing, documentation, collateral, or borrower profile outside ordinary channels.

## Why it exists

It exists because place is unique and immovable while law, capital, information, and human lives must still coordinate around it across time.

## System mechanics

- **Who uses it:** owner, occupant, buyer, seller, lender, investor, steward, regulator
- **Incentives:** access to capital, yield, liquidity, risk allocation
- **Inputs:** capital, terms, collateral or cash flow, counterparties, risk assumptions
- **Outputs:** funding, cash-flow claims, obligations, risk allocation
- **Dependencies:** Land, Authority, Information, Capital, Time

## Archetypal reading

- **Essence:** Seller Financing serves a timing, documentation, collateral, or borrower profile outside ordinary channels
- **Gift:** Clarity about seller financing makes a hidden allocation of place, time, authority, value, or risk available for deliberate choice.
- **Wound / Shadow:** When seller financing is treated as neutral or inevitable, its costs can be shifted to people who hold less information, authority, liquidity, or mobility.
- **Failure mode:** The failure mode appears when seller financing is stale, opaque, mispriced, misrecorded, overextended, or applied outside the conditions that made it useful.

## Lenses

- **Personal:** Notice where seller financing appears as a structure in your own commitments: what is held, promised, priced, protected, excluded, or deferred?
- **Business:** Seller Financing reveals a handoff among information, authority, incentives, operating work, and capital. Make the owner of each handoff explicit.
- **Financial:** Seller Financing changes the timing, priority, comparability, liquidity, or distribution of cash flow and risk.
- **Property:** Seller Financing changes how a physical place can be used, valued, financed, transferred, occupied, maintained, or reclaimed.
- **Community:** Seller Financing can create benefits inside one parcel while exporting costs or opportunity to neighbors, institutions, or future residents.

## Divination

The Claim enters the reading through Seller Financing. The issue is not only what is visible; it is which map of ownership, time, risk, authority, or belonging currently governs the situation.

**Question:** What future is being pledged through Seller Financing, and who receives protection if conditions change?

**Guidance:** Separate access from cost, payment from principal, and temporary liquidity from permanent viability.

## Game function

Moves Capital now and creates a future Claim with explicit priority and failure consequences. Initiative 3.

## Relationships

- **Freddie Mac Home Possible is governed by Seller Financing.** Freddie Mac Home Possible is governed by Seller Financing through a change in rights, information, cash flow, priority, timing, or physical use.
- **Fix-and-Flip Loan is evidenced by Seller Financing.** Fix-and-Flip Loan is evidenced by Seller Financing through a change in rights, information, cash flow, priority, timing, or physical use.
- **Seller Financing is administered through Land Contract.** Seller Financing is administered through Land Contract through a change in rights, information, cash flow, priority, timing, or physical use.
- **Seller Financing externalizes to Mortgage Broker.** Seller Financing externalizes to Mortgage Broker through a change in rights, information, cash flow, priority, timing, or physical use.

## Oppositions

- Use Value versus Exchange Value
- Speed versus Diligence

## Historical lineage and regulatory context

Read Seller Financing through the lineage of Alternative & Non-QM Finance: earlier customary or local arrangements became recorded, standardized, financed, regulated, digitized, or contested over time.

Rules vary by jurisdiction and transaction. Use the cited primary sources as starting points and verify current local law, program guides, contracts, and professional standards before operational use.

## Visual direction

Text-free rounded-square enamel artifact for Seller Financing: a luminous claim-line descending from a built form into layered earth and extending across a long brass timeline; vitreous midnight enamel, blackened steel, warm brass, copper accents, mortgage-paper cream, deep green, slate, and sky blue.

## Engine output / Sentinel handoff

The generative interpretation above is preserved as Engine Output. Sentinel factors: jurisdiction-specific rules, factual uncertainty. These factors request contextual review; they do not delete or silently rewrite the candidate.

## Research / provenance

- [Ability-to-Repay and Qualified Mortgage Rule](https://www.consumerfinance.gov/compliance/compliance-resources/mortgage-resources/ability-repay-qualified-mortgage-rule/) — Consumer Financial Protection Bureau; ATR/QM and residential underwriting.
- [Comptroller's Handbook — Commercial Real Estate Lending](https://www.occ.gov/publications-and-resources/publications/comptrollers-handbook/files/commercial-real-estate-lending/pub-ch-commercial-real-estate.pdf) — Office of the Comptroller of the Currency; CRE lending, DSCR, debt yield, cap rate, valuation, risk.
