Which of the following would MOST LIKELY happen in a land contract?
A. The vendor pays the property taxes, insurance, repairs, and upkeep on the property until the final payment is made
B. The vendor finances the property and makes installment payments
C. The vendor retains the title to the property until the final payment is made
D. The vendee receives possession and the vendor retains equitable title
Answer: C. The vendor retains the title to the property until the final payment is made
The vendor (seller) retains legal (not equitable) title to the property until the final payment is made. The vendee (buyer) receives possession and equitable title while making installment payments. The vendee is also usually responsible for property taxes, insurance, repairs, and upkeep during contract term.
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