The Indiana Land Contract Example form serves as a legal agreement between a seller and a purchaser regarding the sale of real estate. This document outlines the terms and conditions under which the property will be sold, including payment details, responsibilities for taxes and insurance, and the process for transferring title. To ensure a smooth transaction, it is essential to fill out this form accurately, so please click the button below to get started.
The Indiana Land Contract Example form is often used in conjunction with several other documents that help clarify and enforce the terms of the agreement. Below is a list of common forms and documents associated with land contracts in Indiana.
These documents work together to ensure that both parties understand their rights and responsibilities throughout the life of the land contract. Proper use of these forms can help facilitate a smooth transaction and protect the interests of all involved.
Incorrect Date Entry: Failing to enter the correct date at the beginning of the contract can lead to confusion regarding the contract's effective date.
Incomplete Party Information: Not providing full names and addresses for both the Seller and Purchaser can create issues with identification and communication.
Missing Property Description: Omitting or incorrectly describing the property can lead to disputes over what is being sold.
Inaccurate Payment Amounts: Entering incorrect figures for the total purchase price or down payment can cause financial discrepancies later.
Interest Rate Errors: Misstating the interest rates for payments can lead to misunderstandings about the total cost of the contract.
Failure to Specify Payment Terms: Not clearly outlining the payment schedule or method can result in missed payments and potential defaults.
Neglecting to Include Insurance and Tax Provisions: Leaving out details about insurance and tax responsibilities can create financial liabilities for the Purchaser.
Ignoring Notary Requirements: Failing to have the document properly notarized can render the contract unenforceable.
Not Reviewing for Compliance: Not ensuring the contract complies with local laws and regulations can lead to legal complications.
Ensure accurate identification of all parties involved in the contract. The form requires full names and addresses for both the Seller and Purchaser.
Clearly describe the property being sold. Include the location, tax ID, and any relevant details about the premises.
Specify the payment terms. Include the total purchase price, any initial payments made, interest rates, and the schedule for monthly installments.
Understand the Seller's obligations. The Seller must provide a Warranty Deed upon full payment and deliver title evidence insurance if chosen.
Outline the Purchaser's responsibilities. This includes maintaining the property, paying taxes and insurance, and adhering to local regulations.
Be aware of the consequences of default. If the Purchaser fails to meet the terms, the Seller has the right to declare the contract forfeited.
Consider the implications of insurance proceeds. Any funds received from insurance must first be used for repairs before distribution to either party.
Indiana Secretary of State Annual Report - Entities are encouraged to maintain good records for the financial year to facilitate completion of the form.
Resale Certificate Indiana - Farmers can use their Social Security Number (SSN) or Federal Identification Number (FID) instead of a state ID number when completing the ST-105.
When engaging in the sale of a vehicle in Illinois, it's important to utilize the Illinois Motor Vehicle Bill of Sale form, which can be found at legalpdf.org. This form not only validates the transaction between the buyer and the seller but also ensures that all necessary details are officially documented, facilitating a smooth transfer of ownership and adherence to state regulations.
It-6 - A change of address or name should be reported using the correct forms, not E-6.
LAND CONTRACT
(WITH ALTERNATE TAX AND INSURANCE PROVISIONS)
Parties
This Contract, made this ___________day of ___________________________, ____________ between
____________________________________________________________________________________,
hereinafter referred to as the “Seller,”whose address is _____________________________________ and
hereinafter referred to as the “Purchaser,” whose address is ____________________________________.
Witnesseth:
Description
1. THE SELLER AGREES AS FOLLOWS:
Of Premises
(a) To sell and convey to the Purchaser the following described property:
Land situated in the __________________ of ______________________, County of
______________________, State of MI.
Commonly known as:
Tax ID:
Together with all improvements, appurtenances, tenements and hereditaments, including all
lighting fixtures, plumbing fixtures, shades, Venetian blinds, curtain rods, storm windows,
storm doors, screens, awnings, if any, now on the premises, and subject to all applicable
building and use restrictions, and easements, if any, affecting the Premises.
Terms of
(b) That the consideration for the sale of the above described premises is:
Payment
_________________________ and 00/100 Dollars ($___________.00) of which the sum
___________________________________________________ (__________.00) has
heretofore been paid to Seller, the receipt of which is hereby acknowledged, and the balance
of __________________________________ (____________________) is to be paid to the
Seller, with interest on any part thereof at any time unpaid at the rate of ______% per annum
while the Purchaser is not in default, and at the rate of ___ % per annum when and as often
as the Purchaser is in default. This balance of purchase money and interest shall be paid in
monthly installments of _________________ each, or more at Purchaser’s option, on the
________ day of each month, beginning ____________________________________, said
payments to be applied first upon interest and the balance on principal; PROVIDED, the
entire purchase money and interest shall be fully paid within _________ years from the date
hereof, anything herein to the contrary notwithstanding.
Seller’s Duty to Convey
(c)
Upon receiving payment in full of all sums owing herein, less the amount then due on any
existing mortgage or mortgages, and the surrender of the duplicate of this contract, to execute
and deliver to the Purchaser or the Purchaser’s assigns, a good and sufficient Warranty Deed
conveying title to said land, subject to aforesaid restrictions and easements and free from all
other encumbrances, except such as may be herein set forth, and such encumbrances as shall
have accrued or attached since the date hereof through the acts or omissions of persons other
then the Seller or his assigns.
To Furnish Title
(d)
To deliver to the Purchaser as evidence of title, at the Seller’s option, a Policy of Title
Evidence
Insurance insuring Purchaser, the effective date of the policy to be approximately the date of
this contract, and issued by Devon Title Agency, as agent for a title underwriter in good
standing.
Purchaser’s Duties
To Pay Taxes and Keep
Premises Insured
Alternate Payment
Method
Insert amount, if Advance Monthly Installment Method of Taxes and Insurance is to be Adopted
2.THE PURCHASER AGREES AS FOLLOWS:
(a)To purchase said land and pay the Seller the sum aforesaid, with the interest thereon as above provided.
(b)To use, maintain and occupy said premises in accordance with any and all restrictions thereon.
(c)To keep the premises in accordance with all police, sanitary and other regulations imposed by any governmental authority.
(d)To pay all taxes and assessments hereafter levied on said premises before any penalty for non- payment attaches thereto, and submit receipts to Seller upon request, as evidence of payment thereof; also at all times to keep the buildings now or hereafter on the premises insured against loss and damage, in a manner and to an amount approved by the Seller, and to deliver the policies as issued to the Seller with the premiums fully paid.
If the amount of the estimated monthly cost of taxes, assessments and insurance is inserted in the following Paragraph 2(e), then the method of the payment of these items as therein indicated shall be adopted. If this amount is not inserted, then Paragraph 2(e) shall be of no effect and the method of payment provided in the preceding Paragraph 2(d) shall be effective.
(e)To pay monthly in addition to the monthly payments herein before stipulated, the sum of
$____________________, which is an estimate of the monthly cost of the taxes, assessments and insurance premiums for said premises, which shall be credited by the Seller on the unpaid principal balance due on the contract. If the Purchaser is not in default under the terms of this contract, the Seller shall pay for the Purchaser’s account, the taxes, assessments and insurance premiums mentioned in Paragraph 2(d) above when due and before any penalty attaches, and submit receipts therefore to the Purchaser upon demand. The amounts so paid shall be added to the principal balance of this contract. The amount of the estimated monthly payment, under this paragraph, may be adjusted from time to time so that the amount received shall approximate the total sum required annually for taxes, assessments and insurance. This adjustment shall be made on demand of either of the parties and any deficiencies shall be paid by the Purchaser upon the Seller’s demand.
Acceptance of Title and
(f) That he has examined a Title Commitment referenced above covering the above described
Premises
premises, and is satisfied with the marketability of the title shown thereby, and has examined
the above described premises and is satisfied with the physical condition of any structures
thereon.
Maintenance of Premises
(g) To keep and maintain the premises and the buildings thereon in as good condition as they are
at the date hereof, reasonable wear and tear excepted, and not to commit waste, remove or
demolish any improvements thereon, or otherwise diminish the value of the Seller’s security,
without the written consent of the Seller.
Mortgage by Seller
3. THE SELLER AND PURCHASER MUTUALLY AGREE AS FOLLOWS:
(a) That the Seller may, at any time during the continuance of this contract encumber said land by
mortgage or mortgages to secure not more than the unpaid balance of this contract at the time
such mortgage or mortgages are executed. Such mortgage or mortgages shall be payable in
not less than three (3) years from the date of execution thereof and shall provide for payment
of principal and interest in monthly installments which do not exceed such installments
provided for in this contract; shall provide for a rate of interest on the unpaid balance of the
mortgage debt which does not exceed the rate of interest provided in Paragraph 1 (b); or on
such other items as may be agreed upon by the Seller and Purchaser, and shall be a first lien
upon the land superior to the rights of Purchaser herein; provided notice of the execution of
said mortgage or mortgages containing the name and address of the mortgagee or his agent,
the amount of such mortgage or mortgages, the rate of interest and maturity of the principal
and interest shall be sent to the Purchaser by registered mail promptly after execution thereof.
Purchaser will, on demand, execute any instruments demanded by the Seller, necessary or
requisite to subordinate the rights of the Purchaser hereunder to the lien of any such mortgage
or mortgages. In event said Purchaser shall refuse to execute any instruments demanded by
Seller and shall refuse to accept such registered mail hereinbefore provided, or said registered
mail shall be returned unclaimed, then the Seller may post such notice in two conspicuous
places on said premises, and upon making affidavit duly sworn to of such posting, this
proceeding shall operate the same as if said Purchaser had consented to the execution of said
mortgage or mortgages, and Purchaser’s rights shall be subordinate to said mortgage or
mortgages as hereinbefore provided. The consent obtained, or subordination as otherwise
herein provided, under or by virtue of the foregoing power, shall extend to any and all
renewals or extensions or amendments of said mortgage or mortgages, after Seller has given
notice to the Purchaser as above provided for giving notice of the execution of said mortgage
or mortgages.
Encumbrances on
(b) That if the Seller’s interest be that of land contract, or now or hereafter be encumbered by
Seller’s Title
mortgage, the Seller shall meet the payments of principal and interest thereon as they mature
and produce evidence thereof to the Purchaser on demand, and in default of the Seller said
Purchaser may pay the same. Such payments by Purchaser shall be credited on the sums first
maturing hereon, with interest at the rate provided in Paragraph 1 (b) on payments so made.
If proceedings are commenced to recover possession or to enforce the payment of such
contract or mortgage because of the Seller’s default, the Purchaser may at any time thereafter,
while such proceeding are pending, encumber said land by mortgage securing such sum as
can be obtained, upon such terms as may be required, and with the proceeds pay and
discharge such mortgage, or purchase money lien. Any mortgage so given shall be a first lien
upon the land superior to the rights of the Seller therein, and thereafter the Purchaser shall
pay the principal and interest on such mortgage so given as they mature, which payments
shall be credited on the sums of matured or first maturing hereon. When the sum owing
hereon is reduced to the amount owing upon such contract or mortgage or owing on any
mortgage executed under either of the powers in this contract a conveyance shall be made in
the form above provided containing a covenant by the grantee to assume and agree to pay the
same.
Non-payment of Taxes or
(c) That if default is made by the Purchaser in the payment of any taxes, assessments or
Insurance
insurance premiums, or in the payment of the sums provided for in Paragraph 2(e), or in the
delivery of any policy as herein before provided, the Seller may pay such taxes or premiums
or procure such insurance and pay the premium or premiums thereon , and any sum or sums
so paid shall be a further lien on the land and premises, payable by the Purchaser to Seller
forthwith with interest at the rate as set forth in Paragraph 1(b) hereof.
Assignment by Purchaser
(d) No assignment or conveyance by the Purchaser shall create any liability whatsoever against
the Seller until a duplicate thereof, duly witnessed and acknowledged, together with the
residence address of such assignee, shall be delivered to the Seller. Purchaser’s liability
hereunder shall not be released or affected in any way by delivery of such assignment, or by
Seller’s endorsement of receipt and/or acceptance thereon.
Possession
(e)
The Purchaser shall have the right to possession of the premises from and after the date
hereof, unless otherwise herein provided, and be entitled to retain possession thereof only so
long as there is no default on his part in carrying out the terms and conditions hereof. In the
event the premises herein above described are vacant or unimproved, the Purchaser shall be
deemed to be in constructive possession only, which possessory right shall cease and
terminate after service of a notice of forfeiture of this contract. Erection of signs by
Purchaser on vacant or unimproved property shall not constitute actual possession by him.
Right to Forfeit
(f)
If the Purchaser shall fail to perform this contract or any part thereof, the Seller immediately
after such default shall have the right to declare the same forfeited and void, and retain
whatever may have been paid hereon, and all improvements that may have been made upon
the premises, together with additions and accretions thereto, and consider and treat the
Purchaser as his tenant holding over without permission and may take immediate possession
of the premises and have the Purchaser and each and every other occupant removed and put
out. In all cases where a notice of forfeiture is relied upon by the Seller to terminate rights
hereunder, such notice shall specify all unpaid moneys and other breaches of this contract and
shall declare forfeiture of this contract effective in the time period provided by statute or if no
statutory provision applies then within 30 days after service unless such money is paid and
any other breaches of this contract are cured within that time.
Acceleration Clause
(g)
If default is made by the Purchaser and such default continues for a period of thirty (30) days
or more, and the Seller desires to foreclose this contract in equity, then the Seller shall have at
his option the right to declare the entire unpaid balance hereunder to be due and payable
forthwith, notwithstanding anything herein contained to the contrary.
Disposition of Insurance
(h)
That during the existence of this contract, any proceeds received from a hazard insurance
Proceeds
policy covering the land shall first be used to repair the damage and restore the property, with
the balance of such proceeds, if any, being distributed to Seller and Purchaser, as their
interests may appear.
(i)
Time shall be deemed to be of the essence of this contract.
(j)
The individual parties hereto represent themselves to be of full age, and the corporate parties
hereto represent themselves to be valid existing corporations with their charters in full force
and effect.
Notice to Purchaser
(k)
Any declarations, notices or papers necessary or proper to terminate, accelerate or enforce this
contract shall be presumed conclusively to have been served upon the Purchaser if such
instrument is enclosed in an envelope with first class postage fully prepaid, if said envelope is
addressed to the Purchaser at the address set forth in the heading of this contract or at the
latest other address which may have been specified by the Purchaser and receipted for in
writing by the Seller, and if said envelope is deposited in a United States Post Office Box.
Additional Clauses
The pronouns and relative words herein used are written in the masculine and singular only. If more than one joins in the execution hereof as Seller or Purchaser, or either be of the feminine sex or a corporation, such words shall be read as if written in plural, feminine or neuter, respectively. The covenants herein shall bind the heirs, devisees, legatees, assigns and successors of the respective parties.
In Witness Whereof, the parties hereto have executed this Contract in duplicate the day and year first above written.
Land Contract Seller(s) / Vendor(s)
______________________________________________
Land Contract Purchaser(s) / Vendee(s)
_______________________________________________
Use this
STATE OF MICHIGAN
Acknowledgement Form
} S.S.
for Individuals
COUNTY OF ____________________
The foregoing instrument was acknowledged before me this _________day of _________________,
__________ by _____________________________________________________________________
____________________________________________
Notary Public
______________________________________County
My commission expires: _______________________
for Corporations
The foregoing instrument was acknowledged before me this ____________day of ________________,
________ by ________________________________________________________________________
__________________________________________
____________________________________County
My commission expires: _____________________
Drafted by:
When recorded return to: