Land Contracts
Definition of "Land contracts"
Also called an installment sales contract or contract foe feed. A type of creative financing in real estate allowing the seller to finance a buyer by allowing him or her to make a down payment followed by a series of periodic monthly payments of principal and interest. However, title is retained by the seller until the mortgage is paid. This means of financing can also be used to purchase improved land. Rules relating to land contracts differ among states. For instance, some states require that title be passed when a certain percentage of the loan has been paid by the borrower.
Popular Real Estate Terms
Monies paid to use property, such as the use of natural resource extractions. The royalty payment is typically based upon some percentage of the income or fee for substances generated from ...
Residing in or using real estate. An example is a tenant in an office building. ...
Rental income received from property that exceeds the costs of owning and maintaining the property. ...
Increase in the value of property. The appreciation may arise for many possible reasons, such as inflation, construction of higher priced homes in the neighborhood, tax incentives, and ...
Decline in the credit status of a prospective homebuyer. ...
Unsecured long-term debt. There is no collateral or lien on the property. A debenture can only be issued by a financially sound borrower with an excellent credit rating because no ...
Sponsor of a syndicate involving people or companies buying an interest in a real estate investment or unit. The group of investors are in effect engaged in a joint venture for profit." ...
An antenuptial agreement is, as the terms composition states, an agreement that happens before the nuptials, or, in other words, the wedding. The antenuptial agreement is more commonly ...
Potential homeowners buy land at a location they like and then build their house on it. ...
Have a question or comment?
We're here to help.