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For several reasons, the buyer or seller may decide that the contract is not to be recorded in the register of deeds. It was a closely-fought campaign that got dirty, but Virginia elected Democrat Ralph Northam to be its next Governor.When a third party lender, such as a financial institution, provides a loan, this third party has its own interests to protect against the other two parties involved, the seller and buyer.

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It may also be the seller’s position that if the buyer requires any of these services, they could pay for the costs and make arrangements themselves.

For properties where only relatively undeveloped land is involved and if the seller is willing to finance, the price of the empty land may be so low that the conventional closing costs are not worthwhile and can be an impediment to a quick, simple sale.

Easy financing and a simple sale transaction may be a good selling point for a seller to offer a buyer.

Since a land contract specifies the sale of a specific item of real estate between a seller and buyer, a land contract can be considered a special type of real estate contract.

Usually, but not always, the date on which the full amount of the purchase price is due will be years sooner than when the purchase price would be paid in full according to the amortization schedule.

This results in the final payment being a large balloon payment.

With a land contract the seller provides financing to buy the property for an agreed-upon purchase price and the buyer repays the loan in installments.

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