This episode introduces the concept on how to extend your term with Sellers when you add a blended interest rate. This is a method that allows you to create a longer term with a Seller (if they are fixed on a specific/higher interest rate) by adding a second note and mortgage after a predetermined term. In summary, you can create a lower cumulative average interest rate by creating 2 mortgages and notes at different interest rates, (one lower for a number of years and one higher) with a Seller, secured by the same property that creates a win/win scenario for you and the Seller. The objective is to create long term Seller financing by offering a larger interest rate after a lower introductory period at a lower interest rate. This allows you, the investor, to make a better return up front with principal pay down, and offers a higher interest rate to the Seller, on the back end, for a better return for both parties over the long run. This is a more advanced strategy and one that you need to put into your toolbox, so enjoy!

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