What happens if you default on a land contract?

Answer by  patti (29325)

Conditions of default should be detailed in the contract. Generally, the property reverts to the owner. Review your land contract agreement for specifics.

Answer by  mammakat (11147)

Often there is a grace period that allows you to back out. Otherwise, you may have a financial penalty, or just be bound by the contract- this varies by state and often by county. Best is for you to contact the other party, be straight up and see if this can be agreed amicably, with none, or minimal financial penalty.