Legal Question in Landlord & Tenant Law in Michigan
Land contract default on taxes
My parents sold a house through land contract. The tenants regularly pay at least 22 days late and the have failed to pay the 2006 & 2007 taxes. My parents paid the 2006 taxes last year and it looks like they will have to do the same this this year. In addition, the purchaser has failed to show valid proof of insurance.
Can they evict the tenants? If so, would they have to go through the eviction (for renters) or foreclosure process?
1 Answer from Attorneys
Re: Land contract default on taxes
Without additional information it is not possible to fully answer the question. If there is a land contract in place then the purchaser has rights in ownership and you must move to foreclose as opposed to evict. Depending on what the requirement in the language is of the contract the taxes, insurance, and late payment may very well be enough to terminate.
I would recommend that you contact an attorney and engage their services to review the land contract agreement and further discuss the terms and options since foreclosure is a lengthy and time consuming process that you want to ensure is handled correctly the first time.