Can’t afford to buy a Real Estate? Opt for Installment!
Purchasing a real estate by paying the entire amount in one go is indeed a hefty task. But, there is another option available to you. Why don’t you try out the method of paying in installments?? This is called an installment sale.
An installment sale can be summed up as an agreement where the buyer makes a certain down payment and agrees to pay the remaining amount over a period of time. The seller too agrees to pay interest on the remaining amount. The period of time is decided mutually by the seller and the buyer.
A contract form is prepared prior to the sale. Following are the features which a free real estate installment sale contract form has:
- Seller and buyer information:
Here, the seller and the buyer’s full name and address is mentioned.
- Description of the property being sold:
This point mentions the property area, the location and sometimes it also mentions the amenities provided.
- Payment terms:
The down payment, the remaining amount of payment left, the time period, the interest rate, the place of payment etc. are discussed in this point.
- Collection fees:
In case a default arises, the installment sale of the property and the security agreement will be turned for collection and the buyer will bear all the expenses.
- Ownership and transfer of ownership:
The seller takes complete ownership of the property and after the complete payment has been made, the seller transfers the ownership to the buyer.
- Binding effect:
The sale agreement is binding on both the seller and the buyer.
It contains the sign of the magistrate and the stamp of court.
At the end of the free real estate installment sale contract form, the buyer and the seller signs the agreement, thus bringing their deal to a finalization.