Difficulty: Hard

Average Score: 33%

Under the terms of a land contract, the buyer is entitled to an executed deed to the property upon

Rationale

Under the terms of a land contract, the buyer is entitled to an executed deed to the property upon making final payment to the seller.

The executed deed is typically transferred to the buyer only after the final payment has been made, ensuring that the seller has received full compensation before relinquishing ownership of the property.

A (acceptance of the purchase offer.) YOUR ANSWER

Acceptance of the purchase offer marks the beginning of the contract process but does not in itself entitle the buyer to an executed deed. The buyer must fulfill further obligations, including payment terms, before the deed is transferred.

B (taking possession of the property.) YOUR ANSWER

While taking possession may occur before the final payment is made, it does not guarantee ownership or entitlement to an executed deed. The buyer must complete all payment obligations to secure legal ownership through a deed.

C (making the down payment.) YOUR ANSWER

Making a down payment is an initial step in the purchase process but does not finalize the transaction or grant the buyer the deed. The land contract stipulates that full payment is necessary for the transfer of ownership.

D (making final payment to the seller.) CORRECT

Making the final payment to the seller fulfills the buyer’s obligation under the land contract and triggers the seller’s duty to provide an executed deed. This step is essential for the legal transfer of property ownership.

Conclusion

In a land contract, the buyer's entitlement to an executed deed is contingent upon making the final payment to the seller. Other actions, such as acceptance of the offer, taking possession, or making a down payment, do not fulfill the necessary conditions for ownership transfer. The final payment is the definitive action that ensures the buyer receives legal title to the property.

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