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#2272006 - 06/23/22 03:25 PM Contract for Deed do we need a Right of Recesion?
Compliance Newbie Offline
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Joined: Jan 2015
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We have a customer who lives in a home they are buying through a Contract for Deed and want to pay the sellers off with this new loan with us. The property has not been conveyed over to the Buyers through a Warranty Deed.

Would we be required to have a Right of Recession?

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#2272008 - 06/23/22 03:36 PM Re: Contract for Deed do we need a Right of Recesion? Compliance Newbie
rlcarey Online
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Galveston, TX
The question is, warranty deed or not, do they currently have any sort of ownership interest in the property. This most likely comes down to State law.
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#2272024 - 06/23/22 05:18 PM Re: Contract for Deed do we need a Right of Recesion? Compliance Newbie
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Apparently there is not even a written contract.

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#2272030 - 06/23/22 06:33 PM Re: Contract for Deed do we need a Right of Recesion? Compliance Newbie
Rocky P Online
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Joined: Jun 2003
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Florida
Ah, the old addage, "He who represents himself has a fool for a lawyer!"
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#2272034 - 06/23/22 06:46 PM Re: Contract for Deed do we need a Right of Recesion? Rocky P
SteveDave Offline
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Fantastic saying

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#2272062 - 06/24/22 02:01 PM Re: Contract for Deed do we need a Right of Recesion? Compliance Newbie
John Burnett Offline
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Cape Cod
If there is no written contract, there is no enforceable contract in most states (statutes of frauds). If the seller honors its verbal agreement to credit the applicant with past rent payments, it's still going to be a loan to finance the acquisition of the property, which will make it exempt from rescission rules.
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