Legal Definitions - bond for title

Definition: Bond for title is a real estate agreement where the seller retains legal ownership of the property until the buyer pays the full purchase price. It is also known as bond for deed.

Example: John wants to buy a house from Jane, but he cannot afford to pay the full price upfront. They agree on a bond for title arrangement where John will make monthly payments to Jane until he pays the full price. During this time, Jane will retain legal ownership of the property.

This example illustrates how bond for title works. The buyer and seller agree on a payment plan, and the seller retains ownership until the buyer fulfills their payment obligations.