Re: Who’s name is on the title or deed - Posted by Stacy (AZ)
Posted by Stacy (AZ) on February 06, 2001 at 09:45:21:
If the buyer sells to you using a Contract for Deed (Installment Land Contract), the seller’s name remains on the deed until you fulfill the contract terms (refinance later and cash him out). This means that the seller retains “legal” title, but you have the benefit of “equitable” title until contract completion.
If the seller sells to you using an All Inclusive Trust Deed, your name is put on the deed, and you have both equitable and legal title from the date of the closing. The trust deed trustee retains “blind” title, which allows him to act according to the terms of the trust deed (foreclose, etc). The seller is protected by being the beneficiary of the trust deed.