Question

A buyer of an installment contract buys the property on a five- year contract. At the end of the second year, the buyer of the installment decides to sell the property to someone else because he is too busy to manage it. Can the buyer legally do this?

Answer 1

Answer: The buyer can sell his interest in the property to another buyer, but must pay-off the principal balance of the loan at the closing.

Step-by-step explanation:

Answer 2

Answer: No, the buyer can legally do this.

Explanation: The buyer of the property cannot legally sell the property because he/she does not have the legal title to the property being bought on installments. In simpler terms, it is said the buyer does not have equitable title which in real estate laws refer to the individual's right to obtain full ownership of a property or property interest.