Frequently Asked Questions for Homebuyers About Contract For Deeds / Land Contracts
What is the difference between a Contract for Deed and Land Contract?
A Contract for Deed and a Land Contract essentially mean the same thing… Both terms describe an agreement where the buyer purchases a home directly from the seller through installment payments rather than a bank mortgage. The buyer gains equitable interest (the right to occupy and benefit from the property), while the seller retains legal title until the contract is paid off or refinanced.
Different states use different terms — Contract for Deed, Land Contract, or Installment Sale Agreement — but the structure and purpose are the same.
Minnesota = Contract For Deed
Wisconsin = Land Contract
How does a Contract for Deed / Land Contract differ from a traditional mortgage?
A traditional mortgage means you borrow money from a bank, receive the deed at closing, and make payments to the mortgage company until the loan is paid off.
Under a Contract for Deed or Land Contract, Contract For Deed LLC buys the property you choose, and you move in while making monthly payments to us instead of a lender. We hold the deed until the contract is fulfilled or refinanced, then transfer full ownership to you.
This process allows buyers to purchase a home with flexible credit requirements, faster approvals, and no traditional bank mortgage.
How does a Contract for Deed / Land Contract work?
-
Apply and get pre-approved. We evaluate your income, credit, and down payment to determine your budget.
-
Find your dream home. You choose the home you want to buy — not from our inventory, but from any qualified listing on the market.
-
We buy the property. Contract For Deed LLC purchases the home on your behalf.
-
You move in. You take possession under a Contract for Deed agreement and start making monthly payments.
-
Build equity. As you pay, you gain equitable ownership and a track record that helps you refinance later.
-
Refinance or complete the term. Once the balance is paid or refinanced through a traditional lender, you receive the deed and full legal ownership.
This model offers an accessible path to homeownership for buyers who can’t yet qualify for a traditional loan.
What are the benefits of choosing a Contract for Deed / Land Contract?
Benefits include flexible qualification criteria, faster closing times, customized terms, and immediate possession of the property. It’s a good option for those with credit issues, self-employment, or other financial constraints. You also get a tax benefit of owning the home.
-
Buy a home without bank approval — flexible credit requirements.
-
Fast approvals and quick closings.
-
You pick the property you want — not a limited inventory.
-
Simple, transparent process.
-
Path to ownership while you build or repair credit.
-
Live in your home while you work toward traditional financing.
If you’re searching online for contract for deed homes for sale or how to buy a house without a mortgage, this program provides a real, structured path to ownership.
Who is a good candidate for a Contract for Deed / Land Contract?
The short answer is… anyone!
But this option is ideal for individuals with limited credit history, high debt-to-income ratios, recent bankruptcies or foreclosures, new jobs, self-employment, or those who have faced other challenges in obtaining traditional financing.
Our program is designed for buyers who:
-
Have income and savings for a down payment but don’t meet bank guidelines.
-
Are self-employed, recently changed jobs, or rebuilding credit.
-
Want to own a home sooner without waiting years for mortgage approval.
-
Are ready to maintain and live in their own home while working toward refinancing.
If you’ve been searching “how to buy a home with bad credit” or “owner financing homes,” a Contract for Deed might be the perfect solution.
What happens if I miss a payment?
If you miss a payment, contact us immediately so we can help you get back on track.
The specific consequences depend on the terms of your contract. While missed payments can lead to late fees or even default under the contract, our goal is to work with you to protect your home. Open communication is key — most issues can be resolved early.
Can I sell the property before completing the Contract for Deed / Land Contract?
Not without written consent. Since Contract For Deed LLC holds legal title during the term, any sale or transfer must go through us.
However, you can refinance at any time into a traditional mortgage and then sell or transfer the home freely.
This flexibility is one of the major advantages of a Contract for Deed home compared to traditional rent-to-own programs.
Are there any tax implications with a Contract for Deed / Land Contract?
Buyers may still be eligible to deduct property taxes and interest paid under the contract, but tax rules vary by state and situation.
We recommend consulting a qualified tax professional for guidance on contract for deed tax deductions or reporting requirements.
What types of properties can be purchased with a Contract for Deed / Land Contract?
A contract for deed can be used to purchase various types of real estate from single family homes, multi-family properties, commercial properties, and even raw land.
Whether you’re looking for your new single-family primary residence or you want a second home or raw land to hunt on or build your next dream home or you want to build your investment portfolio, we got you covered!
We review each property for value, location, and condition before purchase.
If you’re browsing listings and wondering which homes qualify for a contract for deed, our team can review them and confirm eligibility before you make an offer.
How do I start the process of buying a home with a Contract for Deed / Land Contract?
-
Apply online to get pre-qualified with Contract For Deed LLC.
-
Review your approved price range and contract terms.
-
Find a property within that range — we’ll review it for approval.
-
We buy the home and prepare your Contract for Deed agreement.
-
You move in and begin building your ownership pathway.
This simple process allows you to buy a home without traditional financing and move forward faster.
Do you provide construction financing?
We do not provide construction-phase Contract for Deed financing, but we do help clients who want to build a new home.
If you’re working with a builder who can finance the construction, we can step in to provide the end financing once the home is complete. This means the builder carries the construction loan, and Contract For Deed LLC purchases the finished home on your behalf under a Contract for Deed agreement.
We also partner with Pulte Homes, who regularly refer clients to us when they don’t qualify for their in-house mortgage program. This partnership helps more buyers move forward with a custom or new-construction home even when traditional financing isn’t an option.
Frequently Asked Questions from Real Estate Agents About Contract For Deeds / Land Contracts
What is a Contract for Deed / Land Contract and how does it benefit my clients?
A Contract for Deed (also called a Land Contract) is an alternative home financing solution that allows buyers to purchase a property without a traditional bank mortgage.
Your client selects the home they want, and Contract For Deed LLC buys it on their behalf. The client moves in, makes monthly payments to us, and builds equitable ownership until they refinance or complete the contract.
This option benefits clients who are self-employed, credit-challenged, or simply not yet mortgage-ready. It gives them a real path to homeownership while allowing you to close more deals that might otherwise fall through due to financing issues.
How does a Contract for Deed / Land Contract affect my commission?
Your commission is fully protected and paid at closing, just like a traditional sale.
Once Contract For Deed LLC purchases the property from the seller, you receive your commission directly from the sale proceeds. There’s no delay or separate payment schedule — you get paid when the deal closes.
What types of clients should I refer to Contract for Deed / Land Contract, LLC?
The short answer is anyone.
But typical clients who choose a Contract For Deed include those who have:
- Limited credit or credit issues
- High debt-to-income ratios
- Self-employment or inconsistent income
- Recent bankruptcies or foreclosures
- New jobs or lack of a 2-year work history
- Recently entered the country
- Need for quick closing dates or alternative financing options
How quickly can a Contract for Deed / Land Contract transaction close?
Because our underwriting process is simplified and flexible, most transactions close within a few weeks after property approval — often faster than a bank mortgage.
We focus on verifying income, down payment, and property details, so there’s less red tape and more momentum toward closing.
What are the benefits of partnering with Contract for Deed / Land Contract, LLC?
Partnering with us helps agents:
-
Close more deals that would otherwise fall through due to financing issues.
-
Help more buyers — especially those who are self-employed or rebuilding credit.
-
Expand your client base with nontraditional financing options.
-
Build long-term relationships with buyers who will eventually refinance and refer others.
-
Enjoy smooth closings and timely commission payments.
We’re a trusted resource for homeownership solutions when traditional lending isn’t an option — even builders like Pulte Homes refer their declined buyers to us.
How do I get started with Contract for Deed / Land Contract, LLC?
Getting started is simple:
-
Contact our team to register as a referring agent.
-
Send your buyer’s details or have them apply directly through our website.
-
We’ll review their qualifications and issue a pre-approval amount.
-
You help them find a property that fits our purchase criteria.
-
Once approved, we purchase the property and your client moves in under a Contract for Deed.
We handle the paperwork — you continue doing what you do best: helping clients find the right home.
Are there any risks involved with a Contract for Deed / Land Contract?
From a real estate agent’s standpoint, there’s minimal risk.
Your transaction is structured like a standard home sale — you represent your buyer or seller, the home closes through a title company, and you receive commission at closing.
For clients, the main difference is that legal title transfers only after payoff or refinance, but they gain equitable interest and full occupancy rights under the contract.
Can investment properties be financed through a Contract for Deed / Land Contract?
Yes, Contract for Deed / Land Contract agreements can be used for various types of properties, including single-family homes, multi-family units, and investment properties, providing flexibility for different client needs.
How does a Contract for Deed / Land Contract help clients who have been declined by traditional lenders?
Traditional lenders often reject borrowers due to credit scores, self-employment income, recent job changes, or past financial issues.
With a Contract for Deed, we focus on your client’s current ability to make payments, not just their credit history.
This allows many buyers who’ve been declined elsewhere to move into a home now, start building equity, and later refinance into a traditional mortgage once they meet standard criteria.
What role do I play in a Contract for Deed / Land Contract transaction?
Your role remains the same as with any real estate sale:
-
Help your client find and negotiate the property.
-
Coordinate inspections and due diligence.
-
Communicate with our team for contract review and closing.
We handle the purchase, documentation, and financing structure — so you can stay focused on helping your client find the right home and successfully close.
