Cash Sale vs Contract For Deed

3 Replies

Good Afternoon BP People!! I've run into and interesting situation and would like some feedback. I put a cash offer on a house yesterday and am expecting a counter offer. Seller is offering CFD but has 2 HEquity Loans on the property. Is there any way, if I went with the CFD she could try to finagle me into paying off loans other than the original Mortgage?? Also, I wonder what percentage of cash I should offer as down payment if I go that route?? Thank you ahead of time!!

DeAnna Stewart
I would be concerned with this type of arrangement as what if she stopped paying those loans or filed for bankruptcy ? For a contact for deed it is best to make sure there are no liens on the property
Whatever you do have them provide you with a title report to make sure there are no other liens or have the contract for deed provided that the deed is a warranty deed and not a quit claim deed once it is paid off

@Chris Seveney f : Thank You for the title report suggestion. I’m currently looking into it. I’m still not sure of what percentage of cash to offer if I do it this way. Hoping I can just get a cash deal out of it. I don’t like the idea that she still holds the title.