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seller is trying to sell my house I am purchasing on land contract

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daffnee_2000

Guest
What is the name of your state? Ohio
If anyone can help I would appreciate it. I purchased a home on land contract 2 years ago, recently I fell behind in payments, but have since caught halfway up to where I should be. My question is does the seller have a right to put a for sale sign in my yard and accept offers on my home or does he need my permission first? The seller didn't hold up to his end of contract as pertaining to recording the sale, and He has told me that as long as I catch up the payments we will be ok to continue our contract, but he refuses to remove the for sale sign from the yard. I have alot of money invested in remodeling this home. It was gutted when I purchased it for $49,500 and I put $25,000 in materials alone into it. The seller has a potential buyer wanting to view my home on monday but the offer is only $75,000 and it's not nearly enough for me. I don't want to sell my home! Can the seller force me to? or is he just trying to pull one over on me? I feel like I'm being taken advantage of. Please help me figure this all out.
Thanks,
Daffknee_2000
 


FarmerJ

Senior Member
Your going to have to see a lawyer Imediately you have a major mess . If you dont know of a attorney use this websites FIND A LAWYER link right away waste no time , there is no way around it you must speak with a attorney .
 

BrokerRE

Member
He absolutely cannot put a for sale sign in your yard. I would take it down immediately.

Are you letting him in the house to show it to prospective buyers? If you are, you're crazy.

He must take you to court and foreclose on the home. Then after the foreclosure, you have to be evicted.

Until that happens, you own that house. If someone came and put a for sale sign in the yard of my house, I'd rip it down immediately. You are not a renter, you own that house.

Run, do not walk to an attorney immediately.

Beg Borrow, or Borrow, (don't steal) the money that you're behind, and get caught up immediately. Sit down and read your Land Contract.
 

HomeGuru

Senior Member
BrokerRE said:
He absolutely cannot put a for sale sign in your yard. I would take it down immediately.

Are you letting him in the house to show it to prospective buyers? If you are, you're crazy.

He must take you to court and foreclose on the home. Then after the foreclosure, you have to be evicted.

Until that happens, you own that house. If someone came and put a for sale sign in the yard of my house, I'd rip it down immediately. You are not a renter, you own that house.

Run, do not walk to an attorney immediately.

Beg Borrow, or Borrow, (don't steal) the money that you're behind, and get caught up immediately. Sit down and read your Land Contract.

**A: my opinion is that since the contract is not recorded, the writer is merely a tenant subject to the applicable L/T laws. If the writer has a copy of the contract and paid a down payment, then it can be argued that there is a land contract and the writer has an equitable interest in the property. Notwithstanding, since the writer is in default of the contract due to nonpayment of monthly payments on the contract, the Seller has a right to foreclose on the property and evict.
It appears that the writer cannot make up the back payments so the wise decision would be to cooperate with the Seller on getting the property sold.
As FarmerJ stated, this is a major mess. An attorney should have been consulted before the contract was executed or at least 30 days after to insure recordation.
 
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BrokerRE

Member
HomeGuru, whether or not an instrument is recorded, is immaterial.

Not recording an instrument does not effect it's validity. A properly executed Land Contract is just as valid whether or not it's recorded.

The buyer has already given constructive notice by working on, and or living in the property. They have just as much right to the property as someone that paid cash and received a warranty deed.

Of course, the fact that my experience is based in Michigan, means that I could be mistaken, however I'm confident that they own the property.

This of course means, consult an attorney immediately
 

HomeGuru

Senior Member
BrokerRE said:
HomeGuru, whether or not an instrument is recorded, is immaterial.

Not recording an instrument does not effect it's validity. A properly executed Land Contract is just as valid whether or not it's recorded.

**A: you are correct but does the writer have an original contract that is recordable? Is the contract enforceableand recordable?Does the writer even have a copy of the contract? If not, then the Seller could throw away his and where would this Buyer be? The Buyer would be a tenant.
************

The buyer has already given constructive notice by working on, and or living in the property.

**A: so what. I have worked on numerous cases where tenants, or Buyers with a lease option spent money fixing the property only to lose it all because of no contract, no recorded contract, contract not enforceable, contract in default etc.
******************

They have just as much right to the property as someone that paid cash and received a warranty deed.

**A: what does this mean? They only have rights as occupants of the property since they do not have legal title and since the contract was not recorded, they have no public notice of equitable title either. Thus, they are not in the same position as a deed or titleholder. Their interest in the property in totally different.
************

Of course, the fact that my experience is based in Michigan, means that I could be mistaken, however I'm confident that they own the property.

**A: how do they own the property and where is the documented evidence to show that they own the property?
Just living in the property and/or working on the property does not automatically give fee, lease or even equitable interest property rights to an occupant.
**************
This of course means, consult an attorney immediately.

**A: you got this right.
 
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daffnee_2000

Guest
My L/C is recordable, I do have an origional of the document and will be at the courthouse on Tuesday morning recording it. Ohio law says that so long as you have 20% equity or 5 years into the L/C that it is the same as a mortgage and that the seller would have to foreclose it in order to get us to leave. We are catching up the payments that are behind. I have paid half of them this week and will pay remainder next week. The seller wrote me a reciept . Does that contend that we now have a new agreement? He did accept a partial payment. I'm not sure about that. I will be seeking an attorney as soon as I get payments caught up. Or should I be paying the attorney before the house payments, It's hard for me to know what is the more important choice. Please let me know what you all think.
Thanks
 

BrokerRE

Member
You're not out of the woods yet. You need to consult an attorney in order to have her/him specifically read the Land Contract.

There could be clauses in the Land Contract that allow the seller to do the things he is doing. The thing I'm most concerned about is that there is a fairly common clause in Land Contracts that allow the seller to accelerate the balance of the home if you are in default. What this means is, if you make him angry enough, he could have the right to call the remaining balance "Due and payable in full immediately".

So before you record the Land Contract, I would take it to an attorney in order for you to be sure that your rights are protected.

Be careful and Good Luck.
 

HomeGuru

Senior Member
daffnee_2000 said:
My L/C is recordable, I do have an origional of the document and will be at the courthouse on Tuesday morning recording it. Ohio law says that so long as you have 20% equity or 5 years into the L/C that it is the same as a mortgage and that the seller would have to foreclose it in order to get us to leave. We are catching up the payments that are behind. I have paid half of them this week and will pay remainder next week. The seller wrote me a reciept . Does that contend that we now have a new agreement? He did accept a partial payment. I'm not sure about that. I will be seeking an attorney as soon as I get payments caught up. Or should I be paying the attorney before the house payments, It's hard for me to know what is the more important choice. Please let me know what you all think.
Thanks

**A: I do not understand your gripe about the Seller not recording the contract since you could have done it from day one with your original recordable document. I suggest hiring an attorney to advise you as to the next step. Usually before you hire an attorney the first consultation is free.
 

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