How to file income taxes for the land contract I sold but still hold a mortgage on?

I sold a house on a land contract early 2012 and now it comes time to file income taxes for the year. I still hold a mortgage on the house and am making payments, and the buyer is paying me for the land contract. His payments to me are slightly less (around $30/mo) than what I pay on the mortgage because the mortgage is a 15 year schedule and his payments prior to the balloon payment are on a 30 year schedule. According to the contract, he has full ownership except the deed is still filed in my name. I know I have to provide him with interest information for his income taxes, but how do I go about claiming this on my income taxes? Since my monthly payments on the mortgage are less than he pays me on the contract, can this somehow actually be claimed as a loss? What forms will I need, and how do I report all this to the IRS?

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