Hello Paul
If I bought on a Terms Contract and after awhile could not complete, Would I be entitled to any equity built up over time?
Or, would the owner keep it as he still holds the title?Lejo
Hi Lejo
We write our Terms Contract (Instalment Contracts) to mimic traditional home loans, i.e. they have a 30 year term with a variable interest rate. Therefore, if you make your regular payments over 30 years the loan will be paid out.
If for some reason you could you cannot continue to pay a traditional home loan, the property is put up for mortgagee auction and after the bank takes all that’s owed to them, you get the rest.
The same can happen with an Instalment Contract, i.e. if you have built up equity, you can sell the property, pay out the vendor/lender and keep the rest.
Cheers, Paul
Paul Dobson | Vendor Finance Institute
http://www.vendorfinanceinstitute.com.au
Email Me | Phone MeAn alternative way to finance your home.
Its upto financial statement
kane9539 | Real Estate
http://thewatersal.com/
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