Land Contract
I am considering the purchase of a small piece of property. The owner is offering financing with an unrecorded land contract and note. How can I protect myself in this purchase?
Land Contract
I am considering the purchase of a small piece of property. The owner is offering financing with an unrecorded land contract and note. How can I protect myself in this purchase?
Re: Land Contract
I would never advise a client of mine to purchase property in this manner.
The seller is protected by retaining ownership, and would not need to go through the foreclosure process should you not make all payments timely.
I recommend that you insist on receiving a warranty deed and executing a deed of trust. Note, this will cost you more in recording fees, but you will actually own the property and possibly be able to deduct interest expense.
Anthony Bradley
The Bradley Law Firm, PLLC
606 South Mendenhall Road-Suite 350
Memphis, TN 38117