Alternative Financing Options: Land Contract Homes
Over the last six or seven years American has experienced a housing boom and bust cycle that has turned the real estate market in many areas of the country upside down. Millions of Americans now have credit problems, and many are of the younger generation who carry student loans, and credit card debt accumulated through the college experience. Qualifying for a loan in today’s market with the burden of a rocky credit history is a challenge for many.
Land Contracts represent an alternative form of financing where a private seller carries the financing for a defined period of time, and allows an individual with damaged credit a time to repair and recover. It is a stop-gap measure to negotiate a Land Contract for a home, with a future date defined as to when you will refinance into a conventional loan program.
Over the years as a Realtor, I have had many requests for help in finding Land Contract homes from prospective buyers, and discovered that many did not really understand the process, the requirements nor the commitment to such an arrangement. In order to raise awareness, and also educate, I wrote and published an eBook in December of 2012 entitled: Understanding Land Contract Homes: In Pursuit of the American Dream.
It is a book that covers some of the background of home ownership in America, as well as the practical use of Land Contracts in buying a home. It is written to educate both the seller and the prospective buyer on the use of Land Contracts, and help them make it a smooth process for all concerned. It discusses the various components to such a contract, as well as ways to protect yourself from fraud, or simply omitting something that could cause problems later down the road in the arrangement.
Land Contracts area a useful tool in a struggling real estate market, but it is important that both parties understand the process on how it works. Therefore my book is available today (February 2nd, 2013) on Amazon as an eBook for free for those who are reading my blog. If you want to get your copy, simply click on the link to my eBook.