The word “foreclosure” is a really dirty word, but we hear it everywhere we turn these days, in the media, on the news and it affects so many people that we will almost certainly know somebody in this category. Foreclosure is a really nasty experience and can lead to some very sleepless nights. Indeed, it can lead to so much worry that you won’t be able to focus on anything else in your life. You could suffer from “knock on” effects in the workplace and in other areas of your life, enduring problems with your own family. Foreclosure can be a sordid process, but it also presents opportunities for those who are looking to buy properties at a relatively significant savings.

You may be looking to move yourself and be very intrigued by the foreclosure market. Many times people don’t have cash at hand to pick up a foreclosure home, or their credit score may not be high enough to allow them to turn to conventional lenders for help. These days, buying a home with poor credit is not a fun process generally and can represent a journey down a road with no outlet, if you’re not careful. You may be living in a rental property, are partially imposing on family or friends, maybe starting out as one of those first time home buyers with bad credit and you might find that you are looking at homes under foreclosure in your area. You know that it’s possible to buy at a steep discount and wish you could qualify in one way or the other.

The answer to your prayers may come in the form of a land contract. A land contract is typically a much simpler contractual affair, taking place almost directly between the buyer and the seller and not dependent on stringent and often punitive regulations and conditions set out by conventional lenders.

Land contracts are prevalent in Michigan and you will find a proliferation of them in and around the Detroit area, for example. If you live in this area you are all too aware of the problems that the slowdown in the automobile industry has caused and how this has created a particularly difficult real estate market. There are many foreclosure opportunities around and there are many opportunities to enter into a land contract. If you’re buying a house with poor credit, look for these deals and you will invariably find that you can negotiate rather nicely with the seller. The chances are that the seller is very motivated as well and if you’re both sensible and enter into a contract knowing exactly what you are doing, then this can often represent the best way forward.

Education is paramount and before you enter into a land contract, find out what there is to know about the title and history of the property. Always make sure that you can meet the repayments you are talking about and you are highly advised to consult with an independent land contract expert to provide an unbiased review of the deal you are considering. Look around carefully and see the opportunities available to you.