What is a contract for deed.
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- เผยแพร่เมื่อ 18 ก.พ. 2016
- Someone may suggest you avoid a bank loan and just buy property under a contract for deed. It's legal and it can work- if you do it correctly and protect yourself. Find out how to do that in this video. www.finelyrevealed.com
Very informative. Thank you. Spin move approved! Love it.
Great info and timing As I am contemplating doing a Contract for Deed Property and need to cover all my bases. Dont want a scary thing to happen before last payment is made.
great video
Just had my first experience selling my house with a contract for deed. Simple process just went to the county recorder's office to record the deed in the new owner's name.
Do you have any insights on 1031 exchange for the buyer? Will they be able to do an exchange given that they have equitable title of the property?
If I go through with a home purchase via contract for deed via a lawyer and proper procedure is it still possible that the seller can encumber the property and screw me over later on down the road?
Great simple explanation. What if the seller just deeds you over the property like in a Subject-to senario before your contract payments fulfilled?
Happy to help.
On your question the what if would depend on what happened next- so if a tax question or a remedies question for non payment or eviction etc. Also depends on which state as each has its own property laws.
Jessica @Chicago Title in Bellingham, Wa couldn't figure out a contract for deed got mad at me for even asking them to process it. And proceeded to tell me that they can only do Purchase Agreements... How bizarre. All the paperwork was filled out ready to go.
HI GT - there are many title agents and companies- you can find another one to help.
Very helpful
Glad it helped
So the contract is written out in front of a notary and then we’re going to take that to my bank so possibly can act as a escrow agent where I give a record that I gave a payment to the property owner and they are obligated to handover the deed when payment is all made
Pretty good summary- make sure the contract terms are specific and everyone understands what will happen - including the escrow agent if you use one.
Question.
I bought some acreage. The contract of deed was put under my name and my brothers. I want to sell my part but he doesn't. The bad part is that the complete property is in both of our names. There was nothing divided. Lots or acres or anything.
How would a contract of deed affect me when I sell? How can it benefit me?
Should I speak to the owner and get the contract of deed rewritten. Although, I think that would imply calling people to come out, spend some money, and label my side.
What do you advice?
Please go to a real estate attorney in the place where you are - or where the land is located ask them about partition or a similar remedy.
Hi, if the buyer defaults, what is the name of the court motion that the seller must file to regain physical possession (we already recorded the special warranty deed from buyer back to seller) ?
Hi A - That depends on the state. Writ of restitution or an ejectment action or forcible detainer could be some.
@@FinelyRevealed Thanks this is for New Mexico.... would that be a Writ of Posession? I'm not asking for money, just posession.... is a Writ of Restitution asking for money (for monetary damages)?
Thank you for making this video! Is a Deed similar to, or can replace, a Sales Contract? I was wondering if I should also make a Sales Contract for an offer made to me around $1,000 - $5,000 in cash for the purchase of a small piece of land.
Glad you found it useful. A sales contract is the agreement to buy and sell. The deed is the paper that actually transfers the ownership of the land.
@@FinelyRevealed Thank you so much for replying! 😃 Love your personality and information you share to others in this world through your youtube channel 😄
Ok
What happens when the resident of the property who will eventually own the deed, stops paying taxes or not getting hazard insurance? You as a buyer of deed will have what repurcussions?
Hi @Narasimha I do not understand the question - in a contract for deed situation there is an owner of the property who is selling it to someone else. Usually the one who is buying under contract for deed is living in the property and making payments. The terms of the contract specify who pays what until the purchase is completed. The terms of the contract should also state what the remedies are for a party that does not fulfill a requirement assigned to them under the contract.
@@FinelyRevealedYes, this is for a contract for deed. I'm clear now - get the document to specify everything. Thx
Would a money order each month be enough proof? I could keep the receipts?
Hi @Jordan Yes! a money order would work - whichever payment method just be sure to hang onto the proof of payment method. Scan those receipts and also keep the paper copies.
@@FinelyRevealed Thank you!
If seller never recorded the contract for deed and now 14 years later he gives us a 60 day notice for the remaining balance for defaulting on a payment and never in 14 years got a Annual statement? Is there a case? Should i get a real estate attorney?
Please go talk with a real estate attorney.
What if the buyer defaults? Do I foreclose on them?
It depends on the language in the documents and the state law of where the land is located.
cant the buyer record the deed before they have legal title for homestead right
Hi @3d - can you rephrase the question? I do not understand the question.
He's saying "can the contract signer record the contract-for-deed with the county before receiving the deed and having legal title? For the homestead exemption on his property taxes
No, the legal owner is still the owner until the full amount is paid. This saves the original owner from having to foreclosure the buyer in case of a default. Once the full amount is paid the deed is transferred to the new owner giving them full legal title to the property.
Nice spin
I buy property for deed so if anyone in the USA views my comment tag me in your comment as I'm a property investor.
Yeah right .caretaker cousin got my both parents property for free man law !!!not event next of skin or bloodline free money free rent free house never of i have got my share.thank you