Land Contracts. How they work and benefits questions
Hello. I am thinking about offering a friend a land contract. I have no idea how to do it or what to offer.He has a existing mortgage on it that is not very much
1.Can I take over his mortgage at his rates? If I can and house is worth way more than owned example(mortgage remaining is 30k house is worth 150k) could I take the 30k loan over and then pay the 120k on the side?
2. How do terms usually work? How much does someone usually put down 10%? And then what are usual terms as far as repayment?
3. Who owns the title?
If anyone has any experience with land contracts please feel free to add. I would like to offer but I also want to make sure we both are taken care of and everything is legit. My reasoni g for wanting a land contract is for a lower down payment, cutting out realtor, and hopefully saving some intrest.
I don’t know if it matters or not but it’s a duplex