Ask Question
BusinessBusiness
23 February, 23:10

A real estate contract or land contract is described as a method of financing often substituted for mortgage or trust deed financing. Consequently a land contract can be:1. the same as a mortgage

2. a security device

3. similar to a lease

4. a lease with an option to buy

+5
Answers (1)
  1. 24 February, 02:17
    0
    The correct answer is the option 2: a security device

    Explanation:

    To begin with, a land contract or also known as a real state contract is the type of contract that is usually used in substitution of a mortgage in order to buy a real estate where the seller provides the buyer financing in the purchase and the buyer repays the resulting loan in installments. Moreover, this type of contract allows the buyer to retail the legal title of the property while permiting the buyer to take possesion of the real estate. In addition, it represents a security device due to the fact that the seller do not lose his property until the full purchase price has been paid and in the other hand the buyer do not risk his entire money in case something happens to the real estate and also do not put in risk any other asset that he possesses in order to buy the new property.
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “A real estate contract or land contract is described as a method of financing often substituted for mortgage or trust deed financing. ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
An example of a cost?
Answers (1)
Pink Polka Fashion Inc., a multinational clothing brand, has plans to expand in the European Union (EU) marketplace.
Answers (1)
Joint Cost Allocation-Physical Units Method Board-It, Inc., produces the following types of 2 * 4 * 10 wood boards: washed, stained, and pressure treated. These products are produced jointly until they are cut.
Answers (1)
g last paid a $1.50 per share annual dividend. The company is planning on paying $3.00, $5.00, $7.50, and $10.00 a share over the next four years, respectively. After that the dividend will be a constant $2.50 per share per year.
Answers (1)
Milar Corporation makes a product with the following standard costs: Standard Quantity or Hours Standard Price or Rate Direct materials 12.0 pounds $ 11.50 per pound Direct labor 0.8 hours $ 36.00 per hour Variable overhead 0.8 hours $ 17.
Answers (1)
New Questions in Business
A currency trader observes the following quotes in the spot market: 1 U. S. dollar = 122 Japanese yen 1 British pound = 2.25 Swiss francs 1 British pound = 1.63 U. S.
Answers (1)
Mary, Susan, and Sarah are running a beach boutique on the board walk of Ocean City. Their favorite product is a red lifeguard hoody. Mary believes it will sell 341 times next season.
Answers (1)
Stone Foods produces the majority of its cheese products in its U. S. based dairy division at a total outlay cost of $6.00 per unit.
Answers (1)
The last dividend paid by Coppard Inc. was $1.25. The dividend growth rate is expected to be constant at 15% for 3 years, after which dividends are expected to grow at a rate of 6% forever.
Answers (1)
ABC Company issued a bond with face value for $1000, paid annual 10% coupon and 3 years to maturity, what is the value of ABC bonds today if the required rate of return is 12%.
Answers (1)
Home » Business » A real estate contract or land contract is described as a method of financing often substituted for mortgage or trust deed financing. Consequently a land contract can be:1. the same as a mortgage 2. a security device 3. similar to a lease 4.
Sign Up Forgot Password?