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In a contract for deed arrangement in Illinois, the buyer typically assumes responsibility for paying property taxes. This arrangement is often specified within the contract, so it is important for buyers to understand their tax obligations from the outset. Staying current on taxes ensures that the buyer protects their interest in the property.
A Contract for Deed is a way to buy a house that doesn't involve a bank. The seller finances the property for the buyer.The buyer pays the seller monthly payments that go towards payment for the home. Once the house is paid off, the buyer gets the deed recorded in the buyer's name.
Purchase price. Down payment. Interest rate. Number of monthly installments. Responsibilities of the buyer and seller. Legal remedies for the seller if the buyer does not make payments.
Usually the contract requires the buyer to make payments over time with interest payable on the unpaid balance. Once a buyer pays all of the payments called for under the contract, the owner transfers to the buyer a deed to the property.
A contract for deed offers you a way to do business with a buyer who can?t qualify for a regular mortgage.Other advantages include: no appraisal required, wider range of buyers, possible profit on financing, and quicker settlement.