Land Contracts

[Nick Connor]

Hello,

I'm not sure if this thread belongs in here, but I couldn't find anything on this in the forum, so feel free to move it if I'm in the wrong category or direct me where to find info on this.

I have a couple of questions concerning Land Contracts. Being new to the biz and talking to other newbies, we seem to have different opinions on this and I thought this would be the most logical place for me to get my info from some of you real estate pro's.

My friend seems to think LC's are a better option than going with a lease option. I'm having hard time believing a LC is better only because of the foreclosure process if they default. You're talking about a minimum of 7 months for the redemption period and there's still court (if needed). This to me, seems like a high risk option for someone just starting out. So here are my questions...

1. What are the benefits of a LC compared to lease option?

2. Have you ever had to go through redemption period on a LC?

3. If so, did you ever buy another house and used a LC again?

4. Why to # 3?

Thats all I have for the moment and I'm sure more questions will arise as I read your inputs regarding this. I'm looking forward to here from some of you more experienced investors on this.

Thanks,

Nicholas

[Eric Foster]

When I sell… Personally I would not sell other than cash at closing, or on a lease with an option to purchase…

I do not give away control, title, or equitable interest in a property until they are paying me off.

I don’t want one of my buyers getting liens or control of my property by not paying their bills and getting judgments, filing for bankruptcy, getting a divorce, getting sued etc…

I do lease with an option to buy ONLY!

When I buy… That is a different story…