what type of financing exists when a seller defers receipt of some or all of the purchase price of the property over a specified period of time?

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08-11-2022
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what type of financing exists when a seller defers receipt of some or all of the purchase price of the property over a specified period of time?

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RK99 RK99 · Answer 1 · 2022-11-13T20:24:07+01:00

An installment land contract exists when a seller defers receipt of some or all of the purchase price of the property over a specified period of time.

What is an Installment land contract?

A real estate seller and buyer will enter into an installment contract, also known as a land contract, articles of agreement for a warranty deed, or contract for deed.
An agreement to purchase land in installments without transferring ownership before all payments have been made is known as an installment land sales contract.
The Seller consents to letting the Buyer pay the purchase price in installments over a period of time.
Installment land contracts exist when a seller spreads out the payment of the property's purchase price over a certain period of time.

Therefore, an Installment land contract exists when a seller defers receipt of some or all of the purchase price of the property over a specified period of time.

Know more about an Installment land contract here:

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