The landlord said that I could just continue paying the morgage payments until the loan is paid off and then the house is mine. What type of contract should I make up for us both to sign.
2006-09-26 09:23:00 · 11 answers · asked by Ranchgirl 2 in Business & Finance ➔ Renting & Real Estate
get an attorney to draw up a document for you both to sign and it will be legal.
2006-09-26 09:25:24 · answer #1 · answered by LittleLady 5 · 1⤊ 0⤋
This doens't sound good-- he's selling you the property for ONLY what he owes on it? He must have a motivating factor somewhere.
Whynot write a contract for whatever the full amount is now, (Like, say, $200K) and have a percentage of your rent go towards paying down the principal. Write it so that as soon as your score is good enough, you can get your own mortgage and pay him off. Then have a lawyer look it over.
DO NOT do this without a lawyer-- you could very well pay a lot of money and get screwed. Get everything in writing.
btw, if he owes less than 80% of what it is worht, and thats what he's selling it to you for...you should be able to get a loan regardless of credit becuase of the equity.
2006-09-26 16:28:52 · answer #2 · answered by Anonymous · 0⤊ 0⤋
You NEVER buy a home WITHOUT an attorney first of all.
If you have no credit but have good standing with the landlord then ask and see if he/she will carry your loan "contract for deed". This is how I have acquired all my property. It benefits YOU and it benefit the guy/gal you are buying from for now they get to make the interest instead of a bank. They play banker!
You will need a down payment of 5% to 20% depending upon what the landlord and you agree upon. If you default, YOU LOSE... the landlord can now say toodleloo and keep your down payment and now try reselling the property and make even more money!
All in all go to a lawyer, the BOTH of you and sign a "contract for deed". And then welcome yourself to Home ownership !! : )
2006-09-26 16:39:19 · answer #3 · answered by Kitty 6 · 0⤊ 0⤋
Get an attorney to draw up the contract. What you will be doing is likely a land contract. That landlord will retain title until it is paid for, but as long as you don't miss payments, the house will be yours. One warning...miss payments and he can throw you out and regain ownership and you lose what you have already paid.
2006-09-26 16:31:36 · answer #4 · answered by united9198 7 · 0⤊ 0⤋
I smell a rat. Heed the others' advice about getting an attorney involved, before you sign anything. But before you even do that, you should do some serious research in the housing and real estate market in your area. Prices are likely going to come down and buying in now could cost you quite a bit more than necessary.
2006-09-26 17:08:59 · answer #5 · answered by ? 3 · 0⤊ 0⤋
Get an attorney to draw up a contract for deed. Don't even think of going it on your own without legal advice on that! And don't sign any agreement your landlord offers without having a real estate attorney (NOT an agent!) review it.
2006-09-26 16:30:31 · answer #6 · answered by Bostonian In MO 7 · 0⤊ 0⤋
Maybe he is tired of renting or in over his head on the property and just wants to get rid of it. But do have a contract made up from a legitimate real estate attorney.
2006-09-26 22:50:03 · answer #7 · answered by WILLIAM W 2 · 0⤊ 0⤋
you need to have a contract to sale signed by both of you. Basically, he is selling you this home at whatever the balance due is. So you need to have this contract signed to make it legal. Without it, he can still sell the house from underneath you.
2006-09-27 01:50:49 · answer #8 · answered by mj 1 · 0⤊ 0⤋
You should get a real estate lawyer who has experience working with real estate options...you do not want to write something up yourself.
There are a number of real estate investing books which can give you a good idea of how the process works. A good one is:
How to make money with real estate options.
Good luck in becoming a home owner.
2006-09-26 16:37:42 · answer #9 · answered by fsboTimes.com 1 · 0⤊ 0⤋
Lease to own-but your landlord is full of crap. It is not that easy.Push him for a contract and see how fast he changes his tune. He probably will "let" you do some up-grades-to his property. Don't fall for it!
2006-09-26 16:26:19 · answer #10 · answered by educated guess 5 · 0⤊ 0⤋