Contracts

A Washington land installment contract (contract for deed) differs from a standard sale because:

ATitle transfers immediately upon signing
BThe seller retains legal title until the buyer completes installment payments✓ Correct
CNo interest is charged on the balance
DThe buyer records the deed at signing

Explanation

In a land installment contract (contract for deed), the seller retains legal title while the buyer holds equitable title and makes installment payments. Legal title transfers to the buyer only after all payments are made.

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