We are currently in negotiations with a seller to purchase our 2nd park. He is an older gentlemen looking to retire and owns the park outright. We have agreed in principle to the price and terms of the sale - that is the good news.
However, we would like to have a basic seller financing deal with note and mortgage. The seller wants to do a land contract deal whereby the title remains in the seller’s name and we get equitable title until the note is paid off.
I understand the benefits of the LC deal if there is still a 1st lien on the property, but since he owns the property free and clear, I am hesitant on this option and not sure what the advantages are, if any, to me as a buyer.
Of course, we will seek legal advice on this matter. But I would be interesting in hearing about yours experience in structuring the deal in this manner?
Thanks in advance