Answer: Contract for deed is a source of financing for buyers who do not qualify for traditional financing or want fast source of financing .
Step-by-step explanation:
1. TITLE RISK : The buyers may buy a property with a bad title. In case there is a problem in the title the buyer has no recourse against it.
2. DEFAULT RISK : If the buyer fails to pay the monthly payments or fall behind he may have the risk of losing all his money and investment.
3. OTHER RISKS : In case of seller gone missing or dying the contract may go into probation and the buyer will only have the recourse to go through an expensive litigation.