Contract for Deed (Land Contract) - Virginia
CONTRACT FOR DEED (INSTALLMENT LAND CONTRACT)
(Virginia)
TABLE OF CONTENTS
- Document Header and Parties
- Definitions
- Property; Legal Description
- Purchase Price; Down Payment; Installment Terms
- Interest; Amortization; Balloon; Prepayment
- Legal Title; Escrow of Deed; Delivery at Payoff
- Possession; Taxes, Insurance, and Maintenance
- Buyer's Equitable Interest; Recording
- Default and Remedies (Virginia Counsel Review)
- Title; Marketability; Title Insurance
- Risk of Loss; Condemnation
- Assignment; Due-on-Sale (Garn–St. Germain)
- Disclosures (Lead-Based Paint; Residential Property Disclosure Act)
- General Provisions
- Execution; Notarial Acknowledgment
- Exhibits and Schedules
1. DOCUMENT HEADER AND PARTIES
This Contract for Deed (also known as an Installment Land Sales Contract, this "Contract") is made as of [__/__/____] (the "Effective Date") by and between:
a. Seller: [SELLER LEGAL NAME], a [STATE] [ENTITY TYPE OR "individual"], whose address is [SELLER ADDRESS] ("Seller"); and
b. Buyer: [BUYER LEGAL NAME], a [STATE] [ENTITY TYPE OR "individual"], whose address is [BUYER ADDRESS] ("Buyer").
Seller and Buyer are each a "Party" and collectively the "Parties."
Recitals
A. Seller is the fee simple owner of the real property described in Exhibit A (the "Property").
B. Buyer desires to purchase, and Seller desires to sell, the Property on an installment basis under which Seller retains legal title as security until the Purchase Price is paid in full, at which time Seller will convey title by deed.
C. The Parties acknowledge that Virginia has no installment-land-contract statute and that remedies are governed by general contract law and equity (see Section 9).
NOW, THEREFORE, in consideration of the mutual covenants herein and other good and valuable consideration, the Parties agree as follows:
2. DEFINITIONS
"Business Day" – any day other than Saturday, Sunday, or a legal holiday in Virginia.
"Closing" / "Final Closing" – delivery of the Deed upon payment in full of all amounts due under this Contract.
"Deed" – a [SELECT: General Warranty Deed / Special Warranty Deed] in recordable form conveying the Property to Buyer subject only to the Permitted Exceptions.
"Default Rate" – [____]% per annum or the maximum rate permitted by Virginia law, whichever is less.
"Equity" – the difference between the fair market value of the Property and the Unpaid Balance, plus the value of Buyer's improvements.
"Permitted Exceptions" – the matters listed in Exhibit B.
"Purchase Price" – the amount set forth in Section 4.1.
"Unpaid Balance" – the principal portion of the Purchase Price remaining unpaid at any time, together with accrued interest and other charges.
3. PROPERTY; LEGAL DESCRIPTION
3.1 Property. Seller agrees to sell and Buyer agrees to buy the real property located at [PROPERTY ADDRESS], [CITY/COUNTY], Virginia, legally described in Exhibit A, together with all improvements, fixtures, easements, and appurtenances.
3.2 Personal Property Included. The following personal property is included, free of liens: [LIST OR "None"].
3.3 Condition; "As-Is." Except as expressly stated herein and in the disclosures attached, Buyer accepts the Property in its present "AS-IS" condition (Virginia is a buyer-beware jurisdiction subject to the Residential Property Disclosure Act), subject to Buyer's inspection rights in Section 13.
4. PURCHASE PRICE; DOWN PAYMENT; INSTALLMENT TERMS
4.1 Purchase Price. The total Purchase Price is $[____________].
4.2 Down Payment. Buyer shall pay a down payment of $[____________] on or before [__/__/____].
4.3 Financed Amount. The amount financed (Purchase Price less down payment) is $[____________] (the "Financed Amount").
4.4 Installment Payments. Buyer shall pay the Financed Amount, with interest, in installments as follows:
| Term | Detail |
|---|---|
| Payment amount | $[__________] per [month] |
| Number of payments | [____] |
| First payment due | [__/__/____] |
| Payment due day | [____] day of each [month] |
| Interest rate | [____]% per annum |
| Amortization period | [____] years/months |
| Balloon payment (if any) | $[__________] due [__/__/____] |
| Maturity date | [__/__/____] |
| Late charge | [____]% of payment / $[____] after [____]-day grace period |
| Place of payment | [ADDRESS / ESCROW AGENT] |
4.5 Application of Payments. Payments are applied first to late charges and costs, then to accrued interest, then to principal.
4.6 Maximum Lawful Rate. No provision shall require interest exceeding the maximum permitted by Virginia law (Va. Code § 6.2-300 et seq.); any excess shall be applied to principal or refunded.
5. INTEREST; AMORTIZATION; BALLOON; PREPAYMENT
5.1 Interest. Interest accrues on the Unpaid Balance at the rate stated in Section 4.4 from the Effective Date.
5.2 Balloon Disclosure. [IF APPLICABLE] THIS CONTRACT CONTAINS A BALLOON PAYMENT. A SUBSTANTIAL FINAL PAYMENT OF $[__________] WILL BE DUE ON [__/__/____]. BUYER MAY NEED TO REFINANCE OR OBTAIN OTHER FUNDS TO PAY THE BALLOON.
5.3 Prepayment. Buyer may prepay all or part of the Unpaid Balance at any time [SELECT: without penalty / subject to a prepayment charge of [____]%]. Partial prepayments are applied to principal.
5.4 Payoff Statement. Upon Buyer's written request, Seller shall provide a statement of the Unpaid Balance and amounts applied to principal and interest.
6. LEGAL TITLE; ESCROW OF DEED; DELIVERY AT PAYOFF
6.1 Retention of Legal Title. Seller retains legal title to the Property as security until Buyer has paid the Purchase Price and performed all obligations in full. Buyer holds equitable title and the right of possession.
6.2 Escrow of Deed (Recommended). [SELECT ONE]
☐ Seller shall deposit an executed, recordable Deed with [ESCROW AGENT/TITLE COMPANY] to be held in escrow and delivered to Buyer upon payment in full.
☐ The Deed shall be delivered by Seller directly upon payment in full; no deed is escrowed.
6.3 Delivery at Payoff. Within [____] Business Days after Buyer pays all amounts due, Seller shall execute and deliver the Deed and record a release of this Contract at [SELECT: Seller's / Buyer's] expense.
7. POSSESSION; TAXES, INSURANCE, AND MAINTENANCE
7.1 Possession. Buyer is entitled to possession on [__/__/____].
7.2 Taxes and Assessments. Buyer shall pay, before delinquency, all real property taxes and assessments accruing on or after the possession date, and shall provide Seller proof of payment upon request.
7.3 Insurance. Buyer shall keep the improvements insured against fire and other casualty for not less than [SELECT: replacement cost / the Unpaid Balance], naming Seller as an additional insured / loss payee as its interest appears.
7.4 Maintenance. Buyer shall maintain the Property in good repair, commit no waste, and comply with all laws and any property owners'/condominium association requirements.
8. BUYER'S EQUITABLE INTEREST; RECORDING
8.1 Recording. This Contract (or a Memorandum of Installment Land Sales Contract in the form of Exhibit C) shall be recorded in the office of the Clerk of the Circuit Court of [CITY/COUNTY], Virginia. Under Va. Code § 55.1-407, a written contract conveying or affecting an interest in real estate is void as to subsequent purchasers for value without notice and lien creditors until it is recorded in the county or city where the Property is located. Recording provides constructive notice of and helps protect Buyer's equitable interest.
8.2 Recording Fees / Recordation Tax. Recording fees and any Virginia recordation tax (Va. Code § 58.1-801 et seq.) shall be paid by [SELECT: Buyer / Seller].
8.3 No Encumbrance by Seller. Seller shall not further encumber or convey the Property in a manner impairing Buyer's interest, and shall apply Buyer's payments to keep any underlying loan current (see Section 12.3).
9. DEFAULT AND REMEDIES (VIRGINIA COUNSEL REVIEW)
9.1 Events of Default. Buyer is in default if Buyer (a) fails to pay any installment within [____] days after its due date; (b) fails to pay taxes or insurance; (c) commits waste; or (d) breaches any other material covenant and fails to cure within [____] days after written notice.
9.2 Notice and Right to Cure. Seller shall give Buyer written notice of default by certified mail, return receipt requested, specifying the default and a cure period of not less than [30] days. Buyer may cure by paying all past-due amounts plus late charges and Seller's reasonable costs.
9.3 Remedy After Uncured Default. Seller may seek only relief established by this Contract and applicable law after giving the required notice and cure opportunity. Before filing for possession or retaining any Buyer payments, the Parties shall identify the current legal status of Buyer's interest, the appropriate proceeding, and any accounting or refund due. No clause in this Contract authorizes self-help eviction, automatic forfeiture of all payments, or a waiver of relief a court may require.
9.4 Possession and Judicial Relief. Va. Code § 8.01-126 permits an unlawful-detainer summons when the applicant is entitled to possession and the occupant unlawfully detains the property; it does not itself decide whether Seller has that entitlement under this installment sale. Seller may request judicial relief only through a procedure supported by the parties' rights and current Virginia law, with the nature of the requested relief reviewed by Virginia counsel before filing.
9.5 Attorneys' Fees. The prevailing Party in any enforcement action is entitled to reasonable attorneys' fees and costs as permitted by law and this Contract.
10. TITLE; MARKETABILITY; TITLE INSURANCE
10.1 Marketable Title at Payoff. At Final Closing, Seller shall convey marketable, insurable fee simple title subject only to the Permitted Exceptions.
10.2 Title Insurance. [SELECT: Seller / Buyer] shall provide, at [ITS] expense, an owner's title insurance commitment from [TITLE COMPANY] showing title vested in Seller as of the Effective Date, and an owner's policy issued to Buyer at Final Closing.
10.3 Seller's Existing Liens. Seller represents the Property is encumbered only by: [LIST or "none"]. Seller shall not allow any superior lien to go into default.
11. RISK OF LOSS; CONDEMNATION
11.1 Risk of Loss. From the possession date, risk of loss passes to Buyer. Insurance proceeds shall be applied, at Buyer's election and subject to Seller's security interest, to restoration or to the Unpaid Balance.
11.2 Condemnation. Any condemnation award shall be applied first to the Unpaid Balance, with the balance to Buyer, unless the Parties agree to restoration.
12. ASSIGNMENT; DUE-ON-SALE (GARN–ST. GERMAIN)
12.1 Assignment by Buyer. Buyer may not assign this Contract without Seller's prior written consent, which shall not be unreasonably withheld.
12.2 Assignment by Seller. Seller may assign its rights to payment subject to Buyer's rights hereunder.
12.3 Due-on-Sale Warning (Garn–St. Germain). If the Property is subject to an existing mortgage or deed of trust, entering into this Contract may trigger a "due-on-sale" clause permitting the lender to accelerate under the federal Garn–St. Germain Depository Institutions Act (12 U.S.C. § 1701j-3). Seller represents that [SELECT: there is no underlying loan / the lender has consented / Buyer assumes this risk]. Seller shall apply Buyer's payments to keep any underlying loan current.
13. DISCLOSURES (LEAD-BASED PAINT; RESIDENTIAL PROPERTY DISCLOSURE ACT)
13.1 Lead-Based Paint (Pre-1978 Housing). If the Property is covered target housing, federal law (42 U.S.C. § 4852d) requires Seller to disclose known lead-based paint and hazards, provide records, deliver the EPA pamphlet, and allow a 10-day inspection opportunity. See Exhibit D. ☐ Not applicable (not covered or exempt).
13.2 Virginia Residential Property Disclosure Act. Under the Virginia Residential Property Disclosure Act (Va. Code § 55.1-700 et seq.), which by § 55.1-701 expressly applies to transfers by installment land sales contract of residential real property of one to four dwelling units, Seller shall furnish the Buyer the Residential Property Disclosure Statement (notifying Buyer to exercise due diligence; Virginia follows a buyer-beware approach) on the Real Estate Board's website or by delivery, unless the transaction is exempt under § 55.1-702. See Exhibit E. ☐ Disclosure delivered ☐ Exempt
13.3 Inspection. Buyer [SELECT: has inspected / has [____] days to inspect] the Property, including any well/septic and radon testing, and accepts it subject to such inspection.
14. GENERAL PROVISIONS
14.1 Governing Law. This Contract is governed by the laws of the Commonwealth of Virginia.
14.2 Forum. Exclusive venue lies in the Circuit Court of [CITY/COUNTY], Virginia.
14.3 Notices. Notices shall be in writing and delivered by hand, certified mail (return receipt requested), or nationally recognized overnight courier to the addresses in Section 1.
14.4 Time of the Essence. Time is of the essence as to all payment obligations, subject to the notice and cure rights and the Virginia equity rule in Section 9.
14.5 Entire Agreement; Amendment. This Contract and its Exhibits are the entire agreement and may be amended only in a writing signed by both Parties.
14.6 Severability. If any provision is held invalid, the remainder shall remain enforceable.
14.7 Counterparts; Electronic Signatures. This Contract may be executed in counterparts and by electronic signature.
14.8 Successors and Assigns. This Contract binds and benefits the Parties and their permitted successors and assigns.
15. EXECUTION; NOTARIAL ACKNOWLEDGMENT
IN WITNESS WHEREOF, the Parties have executed this Contract as of the Effective Date.
SELLER:
________________________________________
[SELLER NAME]
Date: [__/__/____]
BUYER:
________________________________________
[BUYER NAME]
Date: [__/__/____]
Notary Acknowledgment
COMMONWEALTH OF VIRGINIA
CITY/COUNTY OF [____________]
The foregoing instrument was acknowledged before me this [____] day of [MONTH], [YEAR], by [NAME(S)].
________________________________________
Notary Public
Registration No.: ___________
My Commission Expires: ___________
[SEAL]
16. EXHIBITS AND SCHEDULES
- Exhibit A – Legal Description of the Property
- Exhibit B – Permitted Exceptions
- Exhibit C – Memorandum of Installment Land Sales Contract (for recording)
- Exhibit D – Lead-Based Paint Disclosure (pre-1978 housing)
- Exhibit E – Virginia Residential Property Disclosure Statement
- Schedule 1 – Amortization Schedule
Sources and References
- Va. Code § 55.1-407 (contracts void as to creditors/purchasers until recorded) — https://law.lis.virginia.gov/vacode/title55.1/chapter4/section55.1-407/
- Virginia Residential Property Disclosure Act, Va. Code § 55.1-700 et seq. (§ 55.1-701 covers installment land sales contracts) — https://law.lis.virginia.gov/vacodepopularnames/virginia-residential-property-disclosure-act/
- Va. Code § 8.01-126 (unlawful detainer) — https://law.lis.virginia.gov/vacode/8.01-126/
- Va. Code § 6.2-300 et seq. (interest and usury) — https://law.lis.virginia.gov/vacode/title6.2/chapter3/
- "Installment Land Contracts: Developing Law in Virginia," Wash. & Lee L. Rev. — https://scholarlycommons.law.wlu.edu/
- Garn–St. Germain Act, 12 U.S.C. § 1701j-3 — https://www.law.cornell.edu/uscode/text/12/1701j-3
- Lead-Based Paint, 42 U.S.C. § 4852d — https://www.law.cornell.edu/uscode/text/42/4852d
About this template
- Last updated
- September 23, 2026
- Jurisdiction
- Virginia
- Category
- Real Estate
Legal authority
- Va. Code § 55.1-407 (contracts void as to creditors and purchasers until recorded)
- Va. Code § 55.1-300 et seq. (form and effect of deeds; conveyances)
- Va. Code § 55.1-600 et seq. (acknowledgment and recordation of instruments)
- Va. Code § 55.1-700 et seq. (Virginia Residential Property Disclosure Act; § 55.1-701 expressly covers installment land sales contracts)
- Va. Code § 8.01-126 (unlawful-detainer summons procedure if a party is entitled to possession)
- Va. Code § 6.2-300 et seq. (interest and usury)
- Garn–St. Germain Depository Institutions Act, 12 U.S.C. § 1701j-3
- Residential Lead-Based Paint Hazard Reduction Act, 42 U.S.C. § 4852d
Real estate documents transfer ownership, define who can use a property, and record agreements between buyers, sellers, landlords, and tenants. Deeds, purchase agreements, leases, and easements have to be drafted to meet state recording requirements, and mistakes show up at closing or years later in title disputes. Good real estate paperwork moves transactions forward quickly and avoids the kind of problems that only surface when it is time to sell or refinance.
Not legal advice
This template is provided for informational purposes. We recommend having an attorney review any legal document before signing, especially for high-value or complex matters.
Checked against the law it cites
The statutes this template relies on are listed under Legal authority.
Va. Code § 8.01-126(B) (checked September 23, 2026): "In any case when possession of any house, land or tenement is unlawfully detained by the person in possession thereof, the landlord, his agent, attorney, or other person, entitled to the possession may present to a magistrate or a clerk or judge of a general district court a statement under oath of the facts which authorize the removal of the tenant or other person in possession, describing such premises"
42 U.S.C. § 4852d(a)(1) (checked September 5, 2026): "Not later than 2 years after October 28, 1992, the Secretary and the Administrator of the Environmental Protection Agency shall promulgate regulations under this section for the disclosure of lead-based paint hazards in target housing which is offered for sale or lease."
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