Real Estate Broker · Columbus, OH · Member since 2013 · 3k+ posts · 1k+ votes
Venturing into the world of deed for contract and still figuring out the etiquette: would it normally be customary for the seller to cover the cost of the note and mortgage preparation?
I have agreed to cover all other closing costs on this transaction.
Investor, Entrepreneur, Educator · Springfield, MO · Member since 2009 · 21k+ posts · 12k+ votes
10y
Ahhh, Brandon!
Is this an owner occupied loan? Or, are we exempt from TILA and Dodd-Frank?
If exempt from TILA and DF, costs of note preparation can be negotiated, if not, costs must be figured into the loan cost disclosures and APR.
Lenders usually pay costs of developing their notes as that is part of the product they provide to enter into the business transaction of lending.
You're getting into issues financing with a land contract that even your attorney may not be aware of. Their use is pretty well established by local custom, but you still have title concerns, circumventing foreclosure laws and ability to pay rules depending on your deal, including financing terms being compliant. I suggest a note and deed of trust. :)
