Contract for deed is a great alternative financing program. If you cant get a mortgage why would you want to keep renting if you have money to put down on a home. Alot of people with good credit are also buying homes on a cd due to FHA mortgage insurance. The Mortgage insurance payment on a $200,000 can be $250 amonth that is alot of money for 30 years. Alot of buyers refinance into a conventional mortgage towards the end of the 5th year of the contract. The rental market is really expensive right now it costs more to rent a home in the twin cities metro area’s than it costs to buy one. That is something to think about.
There are tax benefits when purchasing a property on a Contract for deed in Minnesota and Wisconsin.
That alone is 1000s of dollars a year. If you want to put or put some equity in the house you can. Rent to own-Leasing does not give you that option.
I have been in business for over 20 years. I work with land contracts on a daily basis. It is very important that you use a knowledgable Real Estate Broker when buying or selling a property with Owner financing,seller financing also known as a cd. They are Basically drafting your Mortgage for the term of the contract. This can cost you 1000s of dollars and bad terms if you use someone who doesnt know what they are doing. Some people specialize in New construction and homes but not many in Owner financing thats where we come in..
BOARDWALK PREMIER REALTY INC