Land Contracts – Part V – For Buyers This Time
Author: Evan Vanderwey
Website: http://www.lansingmimortgage.com/land-contracts-part-v-for-b…
Buying on Land Contract?
Because the $8000 first-time homebuyer tax credit is available to you, and because you may have damaged credit, you may be considering buying a home using a Land Contract. The following is meant to be helpful but is not an exhaustive list of things to consider when buying a home using a Land Contract. It is always important to get legal advice from an attorney.
That said, read these paragraphs as a good start to getting your mind around how the Land Contract works:
1. The seller is your lender. The reason you did not have to submit a pint of your blood and promise your first born to the service of the government is because the entire process of “approving” you for the Land Contract is in the hands of the seller. The seller is motivated to sell the house and collect payments from you. If you say that you can make the payments, the seller does not have a lot to go on other than your word.
2. Always pay on time and pay in a way that can be…
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