Selling a House With an Agreement for Deed in Florida

An agreement for deed is a seller-financed arrangement where title doesn't transfer right away. Florida law treats these arrangements differently than many sellers expect, especially when it comes to what happens if a buyer stops paying. Here's what to know if a property has one attached to it.

What an agreement for deed actually is

An agreement for deed, sometimes called a contract for deed or land contract, is an arrangement where a seller finances the sale directly. The buyer makes payments over time, often takes possession of the property, but the seller keeps legal title until the agreed payments are complete. This is different from a conventional sale, where title passes to the buyer at closing regardless of any financing arrangement behind it.

Why Florida treats it like a mortgage

Under Florida Statute 697.01, any conveyance, obligation, or other instrument of writing that conveys or sells property for the purpose of securing the payment of money is deemed and held to be a mortgage, and is subject to the same rules of foreclosure and the same regulations as other mortgages. In practical terms, this means an agreement for deed used to secure a buyer's payment obligations can be treated by Florida courts as a mortgage in substance, not just a private financing contract outside mortgage law, regardless of what the document itself is titled. The statute includes an exception protecting a bona fide purchaser or mortgagee for value without notice, which is a separate, fact-specific issue in its own right.

Why this matters if a buyer stops paying

Because F.S. 697.01 can treat an agreement for deed as a mortgage, a seller generally cannot assume that a simple eviction is the correct way to remove a buyer who has stopped paying. Foreclosure procedures may apply instead, which is a materially different, and typically longer, legal process than eviction. Whether eviction, foreclosure, or another remedy actually applies to a specific agreement for deed depends on the facts, including how much has been paid and how the agreement itself is structured, and that determination needs to come from a Florida real estate attorney reviewing the actual documents.

Where a sale fits

Selling a house that still has an agreement for deed in place, whether from the seller's side of that arrangement or after acquiring an interest in it, depends on the specific terms of the agreement, how much has been paid toward it, and who currently holds legal title. This is not a simple, one-size-fits-all situation, and it needs to be worked through with a real estate attorney and title company before assuming a straightforward sale can move forward on any particular timeline.

Frequently asked questions

What is an agreement for deed in Florida?

An agreement for deed, sometimes called a contract for deed or land contract, is an arrangement where a seller finances the sale of a property directly, and the buyer makes payments over time while the seller keeps legal title until the payments are complete. It's different from a conventional sale where title transfers to the buyer at closing.

How does Florida law treat an agreement for deed?

Under F.S. 697.01, an instrument that conveys or sells property for the purpose of securing the payment of money is deemed and treated as a mortgage, subject to the same rules of foreclosure as other mortgages. This means an agreement for deed used to secure payments is generally treated as a security instrument, not a simple sale-and-financing arrangement outside mortgage law, regardless of what the document is titled.

Can a seller just evict a buyer who stops paying under an agreement for deed?

Whether eviction or foreclosure is the correct legal process for a specific agreement for deed depends on the facts of that arrangement, including how much has been paid and how the specific instrument is structured, and it's a legal question that needs to be evaluated by a Florida real estate attorney rather than assumed. Because F.S. 697.01 can treat these arrangements as mortgages, foreclosure procedures may apply instead of a simple eviction.

Can I sell a house that still has an agreement for deed in place?

It depends on the specific terms of the agreement, how much the buyer has paid, and who currently holds legal title. Selling the underlying property while an agreement for deed is active involves the seller's own rights and obligations under that agreement, and needs to be worked through with a real estate attorney and title company before assuming a straightforward sale is possible.

Have a property tied up in an agreement for deed and want to understand your options? Call OfferLink at 407-584-9111. We buy houses as-is across Florida, including Sumter County, Osceola County, and St. Johns County. This article is general information, not legal advice. A Florida real estate attorney reviewing the specific agreement is the right resource for confirming how it works and what options exist for a particular property.