5313.02.
Required provisions of land installment contracts
| (A) |
Every land
installment contract shall be executed in duplicate, and a copy of the contract
shall be provided to the vendor and the vendee. The contract shall contain at
least the following provisions:
| (1) |
The full
names and then current mailing addresses of all the parties to the contract;
|
| (2) |
The date when the contract was
signed by each party; |
| (3) |
A legal
description of the property conveyed; |
| (4) |
The contract price of the property
conveyed; |
| (5) |
Any charges or fees
for services that are includable in the contract separate from the contract
price; |
| (6) |
The amount of the
vendee's down payment; |
| (7) |
The
principal balance owed, which is the sum of the items specified in divisions
(A)(4) and (5) of this section less the item specified in division (A)(6) of
this section; |
| (8) |
The amount and
due date of each installment payment; |
| (9) |
The interest rate on the unpaid balance
and the method of computing the rate; |
| (10) |
A statement of any encumbrances against
the property conveyed; |
| (11) |
A
statement requiring the vendor to deliver a general warranty deed on completion
of the contract, or another deed that is available when the vendor is legally
unable to deliver a general warranty deed; |
| (12) |
A provision that the vendor provide
evidence of title in accordance with the prevailing custom in the area in which
the property is located; |
| (13) |
A
provision that, if the vendor defaults on any mortgage on the property, the
vendee can pay on that mortgage and receive credit on the land installment
contract; |
| (14) |
A provision that
the vendor shall cause a copy of the contract to be recorded; |
| (15) |
A requirement that the vendee be
responsible for the payment of taxes, assessments, and other charges against
the property from the date of the contract, unless agreed to the contrary;
|
| (16) |
A statement of any pending
order of any public agency against the property. |
|
| (B) |
No vendor shall hold a mortgage on property sold
by a land installment contract in an amount greater than the balance due under
the contract, except a mortgage that covers real property in addition to the
property that is the subject of the contract where the vendor has made written
disclosure to the vendee of the amount of that mortgage and the release price,
if any, attributable to the property in question.
No vendor shall place a mortgage on the property in an amount
greater than the balance due on the contract without the consent of the vendee.
|
| (C) |
Within twenty days
after a land installment contract has been signed by both the vendor and the
vendee, the vendor shall cause a copy of the contract to be recorded as
provided in section
5301.25 of the Revised Code and a
copy of the contract to be delivered to the county auditor. |
| (D) |
Every land installment contract shall
conform to the formalities required by law for the execution of deeds and
mortgages. The vendor of any land installment contract that contains a metes
and bounds legal description shall have that description reviewed by the county
engineer. The county engineer shall indicate his approval of the description on
the contract. |
Cite as (Casemaker) R.C.
§ 5313.02
History. Effective Date:
03-19-1993 .