Record.. Or Not To Record?
I bought a house on Contract for Deed and my attorney advised me not to record
a memorandom of agreement because
of the DOS clause. I understand DOS
and the risks, but I'm concerned about the owners taking out another mortgage.
Can I get some TCI advice. Has anyone done this before?
Are you saying you did it subject to their existing financing?
Additionally a memorandum in not a sale and should not affect DOS. NowI am reaching here but in land sales contracts and CfD's you only have equitable title and title does not pass until the contract has been fulfilled. AN easy way to get around it all is to put the property into trust with you as the trustee, and then have the owner sign over beneficial interest to you or a variation of that.
[addsig]
Since you had an attorney do the closing for you, I would recommend you ask the attorney how you are protecting yourself. I have personally stayed away from CFD, but I have an attorney friend who uses them all of the time and says there are good protection clauses for the buyer in the paperwork.
Good luck
Rich StS