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Due on Sale Clause

Sunday, April 25th, 2021

If you have agreed to sell a property and carry the note, one of the provisions in your note language must be a Due on Sale clause.

Simply put, your buyer may not sell or in any way convey the property secured by the note to another without your consent. You are a lienholder. Just like a bank or mortgage lender, you have the right to foreclose if your buyer breaches this clause.

Protect yourself, take care of your business.

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