I suggest taking a look at this article recently written. The Title is for renters, but land contracts have the same potential pitfalls.
There are 30 homes for sale at less than 40,000. Please take some time to research Dearborn Hgts city certification. I suspect many of these homes will not pass. Remember, you do not own the home, regardless of repairs performed.
A land contract is often referred to as seller financing. It is often an alternative to a traditional mortgage when credit, income or other factors may prevent a buyer from qualifying. Sellers often use land contract terms to increase the universe of buyers for their home or they may wish to earn the interest income. In Michigan, there are a few lenders who will even accept Land Contract terms on their REO's. You can find a link to First National Bank Michigan REOs at my website http://www.REOmamma.com They will consider anyone with a 10% down payment for land contract terms on their bank owned homes and are very flexible.