NE Conservation Reserve Program (CRP) land:
Correct Answer
B) Transfers with the land — buyer assumes the remaining CRP contract obligations
CRP contracts run with the land. Buyers assume remaining contract obligations (typically 10-15 years) including land use restrictions. CRP rental payments are a source of income for the landowner.
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Related Topics & Key Terms
Related Topics:
Key Terms:
Related Concepts
Equitable title is the buyer's interest in a property after a purchase contract is signed but before closing, giving the buyer the right to acquire legal title in the future. The seller retains legal title until the deed is delivered at closing.
A financing contingency makes the purchase contract conditional upon the buyer obtaining mortgage approval within a specified time period. If the buyer cannot secure financing, they can cancel the contract and receive their earnest money back.
An inspection contingency gives the buyer the right to have the property professionally inspected within a specified time frame and to negotiate repairs or cancel the contract based on the findings.
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