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In this video, the presenter explains the land contract, also known as a contract for deed, as an alternative to an installment sale for real estate investors. In an installment sale, the seller acts as the bank, receiving monthly payments from the buyer, similar to a mortgage. The buyer gains title to the property immediately upon sale. The key concept is that the seller carries the contract, allowing the buyer to make payments over time while holding legal ownership of the property. The discussion aims to clarify these terms and their implications in real estate transactions.