The Advantages And Disadvantages Of Getting A Contract For Deed For Your Home Loan
Using a contract for deed for a home loan may be very advantageous for both the buyer and the seller, provided that it is prepared properly and smoothly.
Contracts that are not really drafted well might cause great difficulties that could affect either parties for many years ahead. Thus it is very important for both the seller and the buyer to carefully scrutinize all the limitations and possibilities afforded by the contract for deed prior to finally subjecting themselves to the arrangement, which is most effectively done with the assistance of different attorneys.
What is a contract for deed?
A contract for deed is basically the agreement to sell and buy a real estate property wherein the seller will hold the title until the time when the contracts provisions have been filled, usually upon full payment of the property. In this case, the buyer may already occupy the property and make the payments as stipulated. Upon completion of payment the seller will pass the title by recording the deed.
How does the contract for deed affect the buyer?