Posted by Dale(OH) on December 04, 1998 at 21:10:49:
Steve, you can sell either way but, not together. You either sell L/O or Land contract. If you want to lower your debt ratio sell land contract and have it recorded at the court house. This will be a legal sale of the house and most banks and lending institutions will honor it as such. L/O is a lease with the option to buy at agreed upon price by you and the tenant/buyer. I’m sure you know that. Things to lok for in a contract for deed are who gets tax breaks, who’s responsible for maintenence and repairs ( major). If the new owner can reassign the contract to any one else. If they can resell the property, the forclosure process if they default, late payment charges and who’s responsible for the property tax. In most states a land contract is easier to forclose on than a conventional mortgage. Hope this info helps. E-mail me to let me know where your from as I might be interested in the property. Good Luck.