Contract for Deed Financing in Minnesota - Why It Would Make Sense!

Real Estate Broker/Owner with Don Sabinske, Sabinske & Associates Inc. 539MN

There are owners who would prefer to sell on a contract for deed.  And, I have handled many of these sellers as has one of my partners. 


We specialize in this area because of our many transactions for sellers, primarily, and buyers, in limited areas.


A contract for deed can be a position that a seller would find attractive for several reasons: 


First,  the ability to finance a sale means that the seller owns the land outright with no obligation to a mortgagee, or that the mortgagee will allow the sale with proceeds to be directed to them first and the seller after the mortgage has been satisfied.


Second, the seller would get payments over a prorated basis, giving the seller an opportunity to pay taxes on any financial gain over several years and possibly offset those gains with losses from other investments.


Third, the seller would keep control and ownership of the property regardless of any payments made by the buyer if the buyer fails to perform, if the contract is written in the interests of the seller….and that is where we come in!


Enter, realtor to the contract for deed seller. 


We write contracts that keep the seller in control over the property.  We keep the seller responsible for insurance, taxes and any and all financing on the property.  The buyer(s) pay(s) the seller for taxes, insurance, etc. and make(s) payments for the number of years that the seller deems is most financially feasible and advantageous to him or her or them. 


This way, the seller is not in a position of potential loss.  The taxes will be paid, the insurance is paid (with the seller as the insured), and nothing is in jeopardy with the exception of a possible eviction of the buyer if non-payment becomes an issue. 


We also work with the seller to ascertain that they would enjoy a 20 percent return on investment (or more) every year until the buyer(s) complete(s) the transaction, close(s) on the property and transfer(s) tax and insurance obligations to himself, herself or themselves. 


If this sounds as if it would be something you would like to consider, call me today.  Or you can contact Suzanne McLaughlin at 763-487-1870, too, to talk to one or both of us about listing your property. 


This is a great way to sell with a smaller financial gains tax on the property.

Give us a call!



Check it out, and give us a call.  

Posted by

Moving in Excellence!

Don Sabinske, Broker, GRI

Sabinske & Associates Inc.


Specializing in Sherburne, Wright, Anoka and Hennepin Counties...We can help you move!



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Tammy Lankford,
Lane Realty Eatonton, GA Lake Sinclair, Milledgeville, 706-485-9668 - Eatonton, GA
Broker GA Lake Sinclair/Eatonton/Milledgeville

Well seller financing works totally different in your state.  I like reading how it works in other states.  Lets me know when working with clients from that state how much more explaining I need to do.

May 05, 2014 11:07 AM #1
Debbie Laity
Cedaredge Land Company - Cedaredge, CO
Your Real Estate Resource for Delta County, CO

The contract for deed isn't a very popular form of financing out in my neck of the woods, but I can see the advantages for the seller. Keep up the great work. 

May 05, 2014 11:47 AM #2
Michael Jacobs
Pasadena, CA
Los Angeles Pasadena 818.516.4393

Hi Don - I like how you explained this.  I have not never had a seller carry in my career.  You definitely have the knowledge to put clients at ease.   

May 05, 2014 11:58 AM #3
Amanda S. Davidson
Amanda Davidson Real Estate Group Brokered By eXp Realty - Alexandria, VA
Alexandria Virginia Homes For Sale

Don, you have a lot of knowledge on contract for deed financing in Minnesota. Anyone considering that route should contact you to discuss their options. 

May 05, 2014 10:07 PM #4
Debbie Reynolds
Platinum Properties - Clarksville, TN
Your Dedicated Clarksville TN Real Estate Agent

Don, We don't have any of these anymore. But back in the 80's I did lots of them.

May 05, 2014 10:55 PM #5
Jeffrey DiMuria 321.223.6253 Waves Realty
Waves Realty - Melbourne, FL
Florida Space Coast Homes

...because of new laws here is Florida this is much less likely...but great local post Don.

May 06, 2014 01:44 AM #6
Ron Marshall
Marshall Enterprises - Saint Michael, MN
Birdhouse Builder Extraordinaire

We have done one contract for deed and it went well.  Thanks, Don!  

May 06, 2014 05:41 AM #7
William Feela
Realtor, Whispering Pines Realty 651-674-5999 No.

C 4 Deed is  great for those able to do it.  Can be a great return on the mone

May 06, 2014 06:20 AM #8
Don Sabinske
Don Sabinske, Sabinske & Associates Inc. - Zimmerman, MN
Sabinske & Associates Inc.

Having had so many of these work makes us think that we know our way around this special niche type of financing.  And, we really enjoy working with people who have a lot of equity and make referrals to us, as well.

May 06, 2014 08:48 AM #9
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Don Sabinske

Sabinske & Associates Inc.
Relocating to Sherburne County? Call me!
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