Land contract

A land contract is an agreement where the seller of land finances the purchase, allowing the buyer to acquire ownership gradually. Instead of getting a traditional mortgage from a bank, the buyer makes installment payments directly to the seller over time. Once all payments are made, the seller transfers the full legal title to the buyer. Until then, the seller typically retains ownership, and the buyer has the right to use the land. This arrangement can benefit buyers with limited credit and sellers seeking steady income, but it also involves specific legal considerations for both parties.