This Seller's Disclosure Notice of Financing Terms Contract for Deed serves as notice to Purchaser of the purchase price of property and how payments, interest, and late charges are set. This document should be completed by Seller of property and provided to the Purchaser at or before the signing of the contract for deed.
The Spokane Valley Washington Seller's Disclosure of Financing Terms for Residential Property in connection with Contract or Agreement for Deed, also known as a Land Contract, is an essential document for buyers and sellers entering into this type of financing arrangement. This disclosure provides important information about the terms and conditions of the financing agreement, ensuring transparency and protection for all parties involved. Keywords: Spokane Valley Washington, Seller's Disclosure, Financing Terms, Residential Property, Contract or Agreement for Deed, Land Contract Here is a detailed description of what the Spokane Valley Washington Seller's Disclosure of Financing Terms for Residential Property in connection with Contract or Agreement for Deed, aka Land Contract, entails: 1. Parties Involved: The disclosure starts by stating the names and addresses of the buyer (also known as the Vendée) and seller (also known as the Vendor). This helps in identifying the individuals involved in the Land Contract. 2. Property Description: A detailed description of the residential property being sold is provided, including the address, legal description, and parcel number. This information ensures clarity about the property under consideration. 3. Terms and Conditions: This section elaborates on the terms and conditions of the Land Contract. It includes the purchase price, down payment, the amount financed, interest rate, and the number of installments or the duration of the financing period. Additionally, any late fees or penalties for non-compliance may be mentioned here. 4. Payment Schedule: The payment schedule outlines the frequency of payments, such as monthly, semi-annually, or annually. It also specifies the due dates for making payments and where the payments should be made. 5. Escrow Account: If an escrow account is being used to hold the payments, this section will describe its purpose and how it will be managed. The disclosure may also include information on who will be responsible for maintaining the escrow account and what happens in the event of a dispute. 6. Default and Remedies: This section details the consequences if the buyer fails to make payments or breaches any other terms of the Land Contract. It explains the remedies available to the seller, such as initiating foreclosure proceedings or terminating the contract. 7. Seller Disclosures: The disclosure may require sellers to provide information about any known defects or issues with the property, as well as any pending legal actions or liens. This ensures that the buyer is aware of any potential problems before finalizing the agreement. 8. Additional Provisions: This section allows for any additional terms or conditions to be included in the Land Contract that are not covered elsewhere. This can be used to address specific circumstances or requirements of the buyer or seller. Different types of Spokane Valley Washington Seller's Disclosure of Financing Terms for Residential Property in connection with Contract or Agreement for Deed: 1. Residential Property with Fixed Interest Rate: This type of disclosure applies when the Land Contract includes a fixed interest rate, meaning the interest rate remains constant throughout the financing period. 2. Residential Property with Adjustable Interest Rate: This type of disclosure is used if the Land Contract includes an adjustable interest rate, meaning the interest rate may vary over time according to specific predetermined factors. 3. Residential Property with Balloon Payment: If the Land Contract involves a balloon payment, where a significant portion of the principal amount is due at the end of the contract term, there might be a specific disclosure to address this payment structure. It is crucial for both buyers and sellers to carefully review and understand the Spokane Valley Washington Seller's Disclosure of Financing Terms for Residential Property in connection with Contract or Agreement for Deed, as it serves as a legally binding document that outlines the terms and conditions of their financial agreement. Consulting a real estate attorney or a qualified professional is recommended to ensure compliance with all legal requirements and to protect the interests of all parties involved.
