This Contract for Deed is also known as a Land Contract, Agreement for Deed, Contract Sale or Real Estate Instalment Agreement. This contract allows the seller to retain title to the property until the buyer has made all payments under the agreement. Basically, the seller finances the purchase and holds the title or deed to the property as security. The buyer making the instalment payments is entitled to possession and equitable title to the property while the seller holds legal title and is liable for any payments on any mortgages. A Contract for Deed is useful when a buyer cannot obtain traditional financing. Generally the closing costs for this transaction are lower than those involving a bank or mortgage company. It is imperative that a Contract for Deed be set out in writing and that both buyer and seller understand all the terms of the contract.

This Contract for Deed for use in Canada contains the following provisions:

• Parties: Sets forth the identities of both the seller and buyer involved in this transaction;
• Property: Sets forth the location and legal description of the property;
• Included Property: Identifies what is included with the property (i.e., buildings, right-of-way, fixtures, appliances, etc.);
• Excluded Property: Identifies specific items which are excluded in the sale;
• Price and Payment: Sets forth the price for the property and when and how payments are to be made;
• Security: Explains that this contract will act as security for the performance and payments by the buyer;
• AS-IS Condition: Buyer will accept the property AS-IS without warranties of any type;
• Deed and Evidence of Title: Seller will deliver a general warranty deed after buyer fulfils his or her obligations;
• Risk of Loss and Insurance: The buyer agrees to keep the property insured against loss by negligence, fire or other casualty;
• Prepayment: The buyer may prepay the entire balance without any prepayment penalties;
• Possession of Property: Buyer shall have possession of the property as long as all contract terms are complied with;
• Default by Either Party: Sets out the consequences of any default by either the seller or buyer;
• Mortgage by Seller: Seller is authorized to place a mortgage on the property;
• Reinstatement after Acceleration: Buyer may reinstate this contract in the event of default and acceleration according to law;
• Assignment or Sale by Buyer: Buyer will not assign his interest in the property without consent of the seller.

Protect Yourself, Your Rights and Your Property with these accurate and easy to use forms.

This lawyer-prepared package includes:

1. Instructions and Checklist
2. General Information
3. Contract for Deed for use in Canada

Law Compliance: This form can be used in the following provinces: Alberta, British Columbia, Manitoba, New Brunswick, Newfoundland and Labrador, Northwest Territories, Nova Scotia, Nunavut, Ontario, Prince Edward Island, Saskatchewan and Yukon