Contract for Deed vs. Mortgage

[Dan R.]

Does anyone have any advice on the pros/cons of providing seller financing via a contract for deed vs a deed of trust? I've purchased property with seller financing using a deed of trust, but I may want to use a contract for deed as a seller. I'm interested in minimizing time and expense in the event of buyer non-performance. How should I have the buyer insure my equity with property insurance....is additional insured the correct route?

Thank you.

[Don Konipol]

In Arizona, foreclosure can take a LONGER time and become judicial depending on the amount of equity a borrower has in the property. In Texas, CDs are outlawed in most cases. More and more local governmental bodies take a negative view of these. If the possibility of a lawsuit on a property sold with a mortgage or deed of trust is 1%, the contract for deed sale increases the lawsuit possibility by a factor of at least 20 to 20%.