550.02 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 the vendor provide evidence of appraisal value of the real property. Evidence of appraisal value is satisfied if the Mahoning County Auditors Tax Statement is provided.

      (14)    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;

      (15)    A provision that the vendor shall cause a copy of the contract to be recorded;

      (16)    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;

      (17)   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 the 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 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 Ohio 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.

(Ord. 19-07. Passed 2-6-19.)