Marie wants to buy Ted's farm.She agrees to pay Ted a monthly payment towards the farm,to take possession and to insure the property.Ted retains the legal title while Marie is making payments.This arrangement is called a:
A)mortgage
B)land contract
C)strict foreclosure
D)deed of trust

Question

Quizplus · Accepted Answer

A land contract is a device for securing the balance due the seller on the purchase of real estate.Essentially,it is an installment contract for the purchase of land.The buyer agrees to pay the purchase price over a period of time.The seller agrees to convey title to the property to the buyer when the full price is paid.

Marie Wants to Buy Ted's Farm