What is the Installment for Deed strategy?

a) The buyer and seller agree that the seller will transfer the property's title to the buyer after an installment for deed contract has been fulfilled.

b) The buyer agrees to make regular payments to the seller over a specified period instead of obtaining traditional financing.

c) The buyer takes possession of the property and is responsible for its maintenance and expenses.

d) All of the above.

How is the remaining purchase price typically financed in an Installment for Deed transaction?

a) Through a promissory note from the buyer to the seller.

b) Through a conventional mortgage from a bank.

c) Through a personal loan from the seller's family member.

d) Through a credit card cash advance.

What is the purpose of a down payment in an Installment for Deed transaction?

a) To reduce the remaining purchase price.

b) To cover the seller's outstanding mortgage balance.

c) To demonstrate the buyer's commitment to the agreement.

d) To pay for the property's maintenance and expenses.

Who retains legal ownership of the property during an Installment for Deed transaction?

a) The buyer.

b) The lender.

c) The seller.

d) The closing agent.

What are the ongoing obligations of the buyer in an Installment for Deed arrangement?

a) Making regular installment payments to the seller.

b) Paying property taxes and insurance.

c) Maintaining the property and covering its expenses.

d) All of the above.

What happens once the buyer completes all payments in an Installment for Deed transaction?

a) The seller transfers the property's title to the buyer.

b) The buyer assumes the seller's mortgage.

c) The buyer refinances the property with a new loan.

d) The seller cancels the agreement and repossesses the property.

What risks should the buyer be aware of in an Installment for Deed agreement?

a) The potential termination of the agreement for default.

b) The possibility of the seller encumbering the property with additional mortgages.

c) The need to fulfill payment obligations to avoid legal consequences.

d) All of the above.

True or False: The buyer is responsible for property taxes, insurance, and other costs associated with owning the property in an Installment for Deed transaction.

a) True

b) False

What legal documents are typically involved in an Installment for Deed transaction?

a) Installment for Deed Contract or Agreement

b) Purchase and Sale Agreement

c) Promissory Note

d) All of the above

Where does the closing typically take place in an Installment for Deed transaction?

a) Seller's attorney's office

b) Buyer's attorney's office

c) Title company's office

d) Real estate agent's office