Agreement For Deed (Rent to Own.. Kind of..)
My wife and I entered into an Agreement for Deed to sell our home in 2012. We were underwater and our neighbors agreed to buy above market price (so they could have contiguous property and they loved our house) if we could give them 3 yrs to get financing together. In meantime per agreement, they have been paying us $5000/mo which covers our mortgage, taxes, and insurance. They took possession July 2012 and have been maintaining it since with the expectation that they will own. Three years have passed, and they are not able to get financing. Apparently, they thought we entered an agreement that added them to our deed so that the mortgage could be taken over by them without having to go through mortgage application process. We are not interested in being on the deed with them since we would still be fully liable for the mortgage if they walk. We have been renting elsewhere and were not able to buy another home with the outstanding mortgage hanging out there. They have been paying down the principal, but still not to the point where we could end the deal and sell the house for what we still owe. Any ideas out there for creative way to get them financed or for us to buy in the meantime..? Thanks!