Land Contract Refinance: Proof Lenders Approve
Land contract refinance on a recorded contract for deed — payment history, seller payoff, and why cash-and-check lumps stall late-stage loan approvals.
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Video transcript
Lightly edited for clarity.
...that land contract. I did.
Did you guys record the land contract? Yes. So how long ago was it recorded? Two years ago. Okay. And you have proof, or you can document, that you've been making payments?
I have had the lender — the guy on the contract, with the last broker who tried doing this — send a VOM showing no late payments in the last 12 months, agreeing to the payoff, the whole thing.
So this was declined from another lender. The last lender I worked with — well, with a broker — and they were doing whatever they did, and they got up to kind of the finish line, and they didn't, because the payments I was making to it are consistent, but there was a bump where he went to cash and check. There was a large payment where they all got at once converted into a transfer. And again, all this signed off there by, you know, whatever.
But he owns it. He has his credit, and he's no longer local. He used to be a local real estate investor. He moved on. And so I bought one of these — this isn't the only one that I bought from him on land contract. It's just the black one I have with him.