Land contract foreclosure

[Matt Ridenour]

I'm hoping to field some advice on a land contract situation.  I have a tenant who purchased my property on a seller financed 5 year balloon.  He has 2 years to go, but I just discovered that he hasn't been paying his taxes.  It seems pretty sure that he isn't going to be able to pay them before the county steps in.  

He still owes me around 150k on the property.  With the market in my area (Ann Arbor Michigan) softening up, I'm afraid that I won't see that cash.  (Thinking I'll have to take it back and the market will be at the bottom.)  I would like to be in a cash heavy situation in time for the next market crash.  

Any advice on how to move forward?

[Jay Hinrichs]

well in most debt instruments non payment of tax's is an event of default. check your docs and see if that is the case if it is then see what you have to do to foreclose on a land  contract.. each state is different.  title officer at a title company could probably advise how you clear up title so they will insure for a new buyer.