Contract for Deed (Land Contract) - Missouri

CONTRACT FOR DEED (LAND CONTRACT)

State of Missouri

1. PARTIES AND RECITALS

1.1 Parties. This Contract for Deed (the "Contract") is made effective as of [__/__/____] (the "Effective Date") by and between:

Seller (Vendor): [________________________________], whose address is [________________________________] ("Seller"); and

Buyer (Vendee): [________________________________], whose address is [________________________________] ("Buyer").

1.2 Recitals. Seller is the owner of the Property described below and agrees to sell, and Buyer agrees to buy, the Property on the installment terms in this Contract. Seller shall retain legal title as security until the Purchase Price is paid in full, at which time Seller shall convey title to Buyer by the deed described in Section 9.

2. PROPERTY AND LEGAL DESCRIPTION

2.1 Property Address: [________________________________], [CITY], Missouri [ZIP], located in [____________] County.

2.2 Legal Description: [____________________________________________________________]

2.3 Parcel / Locator No.: [________________________________]

2.4 Included Items: All improvements, fixtures, and appurtenances, together with the following: [________________________________].

3. PURCHASE PRICE, DOWN PAYMENT, AND INSTALLMENT TERMS

3.1 Purchase Price. The total purchase price is $[____________] (the "Purchase Price").

3.2 Down Payment. Buyer shall pay $[____________] as a down payment on or before the Effective Date, receipt of which is [☐ acknowledged / ☐ to be paid].

3.3 Financed Balance. The balance of $[____________] (the "Principal Balance") shall bear interest at [____]% per annum, computed [☐ simple / ☐ amortized].

3.4 Installments. Buyer shall pay the Principal Balance plus interest in installments as follows:

3.5 Place of Payment. Payments shall be made to Seller at the address in Section 1.1 or as Seller directs in writing.

3.6 Late Charge. If any payment is not received within [____] days of its due date, Buyer shall pay a late charge of $[____________] or [____]% of the overdue amount, whichever is [☐ greater / ☐ lesser], to the extent permitted by Missouri law.

3.7 Application of Payments. Payments shall be applied first to late charges, then to accrued interest, then to principal, unless otherwise required by law.

4. PREPAYMENT

4.1 Buyer may prepay all or any part of the Principal Balance at any time without penalty, unless a prepayment charge is expressly stated here: [________________________________].

4.2 Partial prepayments shall be applied to principal and shall not postpone the due date of subsequent installments unless Seller agrees in writing.

5. POSSESSION

5.1 Buyer shall be entitled to possession of the Property on [__/__/____], and shall retain possession so long as Buyer is not in default.

5.2 Buyer's interest is an equitable interest; Buyer shall not acquire legal title until full performance under Section 9.

6. TAXES, INSURANCE, AND MAINTENANCE

6.1 Taxes and Assessments. Beginning [__/__/____], Buyer shall pay, before delinquency, all real property taxes, assessments, and governmental charges levied against the Property, and shall furnish Seller proof of payment upon request.

6.2 Insurance. Buyer shall keep the improvements insured against fire and extended-coverage perils for not less than $[____________], naming Seller as an additional insured / loss payee as Seller's interest may appear, and shall deliver evidence of coverage to Seller.

6.3 Maintenance and Waste. Buyer shall maintain the Property in good repair, comply with all laws and ordinances, and commit no waste. Buyer shall not make material structural alterations without Seller's prior written consent.

6.4 Seller's Right to Cure. If Buyer fails to pay taxes or maintain insurance, Seller may (but need not) pay or obtain the same, and the amount advanced shall be added to the Principal Balance and bear interest at the contract rate.

7. DEFAULT AND REMEDIES (MISSOURI)

7.1 Events of Default. Each of the following is an Event of Default: (a) failure to pay any installment, tax, or insurance premium when due; (b) breach of any other covenant in this Contract; (c) waste or abandonment of the Property; or (d) Buyer's insolvency or bankruptcy.

7.2 Notice and Right to Cure. Before exercising any remedy, Seller shall give Buyer written Notice of Default specifying the default and the amount or action required to cure. Buyer shall have [____] days (recommended not less than 30 days) from the date of notice to cure a monetary default and [____] days to cure a non-monetary default. Notice shall be sent by certified mail, return receipt requested, to Buyer's last known address.

7.3 Seller's Remedies. If the default is not cured within the cure period, Seller may, subject to applicable Missouri law and equity:

(a) Forfeiture / Termination. Declare this Contract terminated, retain all sums paid as reasonable liquidated damages (and not as a penalty), and recover possession through an unlawful-detainer or ejectment action — provided that a court of equity may decline forfeiture where Buyer has substantial equity;

(b) Acceleration and Suit. Declare the entire unpaid balance immediately due and sue for the balance and other damages;

(c) Foreclosure / Judicial Sale. Treat this Contract as a security instrument and enforce Seller's equitable lien by judicial foreclosure and sale, with any surplus paid to Buyer; and/or

(d) Specific Performance or any other remedy available at law or equity.

7.4 Equity Cushion. The parties acknowledge that where Buyer has paid a substantial portion of the Purchase Price, Missouri equity principles may require Seller to refund excess payments or to proceed by foreclosure rather than forfeiture. This Section does not waive Buyer's equitable rights.

7.5 No Waiver. Seller's acceptance of a late or partial payment is not a waiver of any default or remedy.

8. RECORDING

8.1 Recording of Contract. This Contract (or a memorandum of it) should be recorded in the office of the Recorder of Deeds of the county where the Property is located, pursuant to Mo. Rev. Stat. § 442.380. Recording under Mo. Rev. Stat. § 442.390 imparts notice to all subsequent purchasers and mortgagees and protects Buyer's equitable interest.

8.2 Responsibility. [☐ Buyer / ☐ Seller] shall record this Contract or a memorandum within [____] days of the Effective Date and pay the recording fees.

8.3 Acknowledgment. This Contract shall be acknowledged before a notary public as required by Mo. Rev. Stat. § 442.130 to be eligible for recording.

9. TITLE AND CONVEYANCE OF DEED

9.1 Title Held by Seller. Seller shall retain legal title until the Purchase Price and all other sums are paid in full.

9.2 Form of Deed. Upon full payment and performance, Seller shall convey the Property to Buyer by a [☐ General Warranty Deed / ☐ Special Warranty Deed / ☐ Quitclaim Deed], free of liens except those created or permitted by Buyer and those of record on the Effective Date.

9.3 Escrow of Deed (Optional). [☐ The parties elect to place an executed deed in escrow with [____________] (the "Escrow Agent"), to be delivered to Buyer upon full payment and released to Seller's instruction only upon a properly noticed, uncured default.]

9.4 Title Evidence. Seller shall, at Buyer's request, furnish [☐ a title commitment / ☐ an owner's title policy / ☐ an abstract] showing marketable title subject only to the permitted exceptions listed in Exhibit B.

9.5 Existing Liens. The Property [☐ is / ☐ is not] presently encumbered by a mortgage or deed of trust. If encumbered, the holder is [________________________________] with an approximate balance of $[____________]. Seller covenants to keep such senior lien current and to deliver clear title at payoff.

10. RISK OF LOSS

10.1 Buyer bears the risk of loss or damage to the Property from and after the date of possession.

10.2 If the Property is materially damaged or taken by condemnation, insurance or condemnation proceeds shall be applied, at [☐ Buyer's / ☐ Seller's] election consistent with the parties' interests, to restoration or to the Principal Balance.

11. ASSIGNMENT

11.1 Buyer shall not assign this Contract or sublet/convey any interest in the Property without Seller's prior written consent, which shall not be unreasonably withheld. [☐ Consent not required.]

11.2 Seller may assign Seller's rights to receive payments; any assignee takes subject to Buyer's rights under this Contract.

12. DUE-ON-SALE / GARN-ST. GERMAIN NOTICE

12.1 If the Property is subject to a senior mortgage or deed of trust, that loan may contain a due-on-sale clause. Under the federal Garn-St. Germain Depository Institutions Act, 12 U.S.C. § 1701j-3, a lender generally may accelerate the senior loan upon a transfer by installment land contract, except for certain exempt transfers. Both parties acknowledge this risk and have been advised to verify the senior lender's position before proceeding.

13. DISCLOSURES

13.1 Lead-Based Paint (Covered Target Housing). Before Buyer is obligated under this Contract, Seller must complete the current federal process for covered target housing: provide the EPA lead-hazard pamphlet; disclose known lead-based paint and known lead-based-paint hazards; provide every available lead-hazard evaluation report; attach the large-type Lead Warning Statement and Buyer-signed acknowledgments to this Contract; and allow Buyer a 10-day risk-assessment or inspection opportunity unless the parties mutually agree to a different period. ☐ Federal coverage and any exemption reviewed ☐ Current warning/disclosure attachment completed ☐ Pamphlet and available reports delivered ☐ Inspection period completed, waived, or changed by mutual agreement.

13.2 Property Condition. Seller shall provide Buyer a written disclosure of known material defects in the Property. The Property is otherwise conveyed [☐ AS-IS / ☐ with the following warranties: ____________].

13.3 Other Disclosures. [________________________________]

14. CONSUMER-PROTECTION GUIDANCE

• Missouri does not have a single comprehensive installment-land-contract consumer-protection statute; protections derive from recording statutes (§§ 442.380, 442.390), general contract law, and equity (courts disfavor forfeiture where the buyer has substantial equity).
• Record promptly to protect Buyer's equitable interest against the Seller's later creditors or transferees.
• Provide a clear payoff/amortization statement and credit all payments.
• Build in a meaningful cure period (30 days or more is prudent) before any forfeiture.
• Consider whether a note-and-deed-of-trust structure (with statutory foreclosure protections) better fits the transaction.
• Buyer should obtain title evidence and confirm the status of any senior mortgage before signing.

15. GENERAL PROVISIONS

15.1 Governing Law. This Contract is governed by the laws of the State of Missouri.

15.2 Entire Agreement. This Contract is the entire agreement and supersedes all prior negotiations; it may be amended only in a writing signed by both parties.

15.3 Time of the Essence. Time is of the essence as to all payments and obligations.

15.4 Notices. All notices shall be in writing and delivered personally or by certified mail to the addresses in Section 1.1.

15.5 Severability. If any provision is held unenforceable, the remainder shall continue in effect.

15.6 Binding Effect. This Contract binds and benefits the parties and their heirs, successors, and permitted assigns.

15.7 Counterparts. This Contract may be executed in counterparts, including electronic signatures.

16. SIGNATURES AND ACKNOWLEDGMENT

SELLER:

Signature: _______________________________ Date: [__/__/____]

Printed Name: [________________________________]

BUYER:

Signature: _______________________________ Date: [__/__/____]

Printed Name: [________________________________]

NOTARY ACKNOWLEDGMENT

STATE OF MISSOURI )
) ss.
COUNTY OF [____________] )

On this [____] day of [____________], [____], before me, the undersigned notary public, personally appeared [________________________________], known to me (or satisfactorily proven) to be the person(s) whose name(s) is/are subscribed to the foregoing instrument, and acknowledged that he/she/they executed the same for the purposes therein contained.

IN WITNESS WHEREOF, I hereunto set my hand and official seal.

_______________________________
Notary Public
My commission expires: [__/__/____]

EXHIBIT A — LEGAL DESCRIPTION

[____________________________________________________________]

EXHIBIT B — PERMITTED EXCEPTIONS

1. Real estate taxes and assessments not yet due and payable.
2. [________________________________]

Sources and References

• Mo. Rev. Stat. § 442.380 (Instruments to be recorded): https://revisor.mo.gov/main/OneSection.aspx?section=442.380
• Mo. Rev. Stat. § 442.390 (Notice imparted from time of filing): https://revisor.mo.gov/main/OneSection.aspx?section=442.390
• Mo. Rev. Stat. Chapter 442 (Titles and Conveyance of Real Estate): https://revisor.mo.gov/main/OneChapter.aspx?chapter=442
• Garn-St. Germain Act, 12 U.S.C. § 1701j-3: https://www.law.cornell.edu/uscode/text/12/1701j-3
• Lead-Based Paint Disclosure (42 U.S.C. § 4852d; 24 CFR Part 35): https://www.epa.gov/lead/real-estate-disclosure