Posted by Stacy (AZ) on April 07, 1999 at 12:25:48:
State’s laws vary, but here in AZ, the AITD is different than a Land Contract. The main differences are:
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With a TD or AITD, the deed goes to the buyer at the time of sale. With a Land Contract (called Agreement for Sale in AZ), the deed stays with the seller until the contract is satisfied. However, equitable title goes to the buyer in either case.
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The foreclosure period for a TD and AITD is a standard time period. For the Land Contract, the foreclosure period is based on the amount of equity the buyer has (as short as 30 days).
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An AITD is normally used to wrap a senior loan. The Land Contract can be used to sell a property when there is no prior loan, or no loan that will be wrapped.
Stacy