OfflineNow that I have been assigning contracts I have learned a ton from the entire process. I see a lot of people on this site that want to assign contracts but are struggling getting through that first one. By the way once you get through the first one it gets really easy after that. Here is a list of the ways to assign contracts with the least amount of resistance. Just follow these steps and victory is yours-it is not hard to do and don't let anyone else tell you it is.
1.) Find your buyers first. The buyers that will pay cash should be at the top of your list. The reason is that some banks will not let their clients close on a contracts that is not written in their name.
2.) Lock up deals that are For Sale By Owner, or if the house is listed with an agent then make sure the house isn't bank owned. I'm not saying bank owned properties can't be assigned I am just saying that it is much easier to assign deals that aren't. All you do is sign your name and after your name you write "and/or assigns". The place you write this is on the line that says "Buyer" at the top of the page (which is right above the legal description of the property). You only have to write and/or assigns in this spot and not anywhere else.
3.) Make sure to get a real estate attorney in your area that is familar with assignments of contracts involved with the closing. This is a must. A title company does not have "legal counsel" to be able to handle an assignment. An attorney does. Once you lock up a deal with and/or assigns and you have a buyer in place call your attorney and give him a copy of the contract and the phone number of the buyer. He will do the rest of the work for you. He will call you if he needs more info. DO NOT USE A TITLE COMPANY TO HANDLE AN ASSIGNMENT OF CONTRACT. A title companies job is to make sure a clean title is delivered-they are not in the business to give "legal counsel". That is why some title companies will tell you it is illegal to do assignments because it is illegal for them to change contracts because they are not lawyers. I hope I am making this clear. At the point when the attorney starts getting the assignment put together, your new buyer will send a check to the attorney. You can do one of two things-have the check made out to the attorney and then the attorney will in turn write you a check (the best way) or the buyer can just make the check out to you or your corp and the attorney can hold the check until closing. Note: some title companies will do assignment of contracts, but they are few and far between. It is only a matter of time before they won't handle them any longer. I have met several people that used to be able to do assignemnts and then one day their title company told them they weren't aloud to do them anymore. When I explained to them why-they looked at me with a new sense of hope. Now after learning what I have taught them they are back to the races.
4.) Make sure you help your new buyer run through his due dilligence checklist. The buyer needs to have the property inspected, get insurance ready, etc.
I hope all of you realize this is LEADING EDGE information. This isn't stuff I have read somewhere or stuff that someone else is using. This is information that I have learned as I have been doing assignments. You will not find this info anywhere else. As I have discovered several of these "mistakes" that some of the biggest guru's in the country were making when teaching assignments of contracts I realized why so many people have failed when trying to complete one. Please use it and go make money. I want you to make money, Dean wants you to go make money, America wants you to go make money. Go out there and accomplish your goals and dreams. Get it done!
You've got to find your obstacles and call them out! Unsheath the sword, and do battle with whatever it is that holds you back!
Been reading all these posts. . .a thread or partial is available..i.e.,
using title companies,,and hiring RE attys'. I mentioned before that after using several T. companies( I settled on a local company who's owner/director IS A REAL ESTATE lawyer!!. So there. . .two birds. . .look around and ask if a company has an attorney on staff or in the office.
I'm also up right now because after a 6 months of not much.. I've just landed two more pretty cool deals and no longer faltering.. .but, back to believing that I can do this; these are deals eight and nine in 12 months..so I'm really grateful today and. . .it's true. .. it's true. . .it's true. After the lull. . .the first deal to pop put us right back up on cloud nine..renewed in hope and belief. . thanks to all of you cohorts who ride the roller coaster with me to where????? To success!! If you believe you can you're probably right.. .. if you believe you can't . . your also probably right..
mas leugo
Still looking' crosstown and finding deals..
crosstown looker
Grady, congratulations on yet another, and another, deal! Glad you're on cloud nine. You're a continuing inspiration, along with everyone else here who is sticking with the REI and proving it works, every day, good times and bad.
God bless,
Rina
P.S. Once again, thanks for the reminder about the title company/attorney. It took awhile for me, too, but I did eventually find one locally that is now working through my assignment deal with me. Gotta be a breeze after the first time, huh?
"Obstacles can slow you down, but they can only stop you with your permission." Dean Graziosi (BARM pg 101)
"For I know the plans I have for you," declares the Lord, "plans to prosper you and not to harm you, plans to give you hope and a future." Jeremiah 29:11
For a little about me, welcome to the site, and a few tips for new DG family members, click on this link: http://www.deangraziosi.com/user/3249
I always get what i can. For the new people to this forum...Time will
heal all wounds! Most important is;Without a will you can not have a way!
Assigning Contracts is a true ...decision that you can make as a REI.
Let me start the party...Off right! I have been reading from some people
say...Not really having much luck with (Assignments) in general! That's
ok;Cause REI is not based on, One idea!It is based on the idea...That
i can dell in real estate...I do not have to be a {REA, REBRO ,REATTOR,
Hell i will even go nasty with it---I do not need a bank}all i need is
the...........WILL!!!
randdee813
I AM BACK...for how long, I do not know!
YOUR ACTIONS....MAKE THEM COUNT.
resurrecting post....!
Doesn't get any clearer than this!
Appreciate you Matt!
This is a strategy for doing a bank REO. I was talking to some investors, including another guru at an REI club meeting, and they said I could also just put my buyer on contract with me as co-buyers just to satisfy the bank. Then when we go to escrow we can just tell the title company that we want only my partners name on title.
I just wanted to know if you have tried this or if this sounds feasible to you.
Oh this is aimed at Matt but anyone else that has anything to say on this please do.
Thanks for this post Matt. Highly valuable stuff.
Steve
"Do something you LOVE and you will never work another day in your life."
"Nothing can ever stop you without your permission."
"So long as you haven't quit, then you haven't lost."
very good info
this is a great thread! Matt spells it out for us... literally!! Thank you Matt!
here's a link to find rei attorney in your area...
http://www.deangraziosi.com/real-estate-forums/contracts-and-offers/1134...
Valerie
“And will you succeed? Yes indeed, yes indeed! Ninety-eight and three-quarters percent guaranteed!” ― Dr. Seuss
"I believe in angels, the kind that heaven sends; I am surrounded by angels, but I call them friends" - Unknown
My journal: http://www.deangraziosi.com/real-estate-forums/investing-journals/59110/...
I haven't been around lately, but this was the first thread that got to me upon my return. Thanks for this, Cbr, I really appreciate all that you offer, even when you don't have to. I'm going to give this another go and really make it work this time. It's never too late, is it? God bless you guys.
"Persistence Pays, Procrastination Delays!" - smurfy
"I can do ALL things through Christ who strengthens me." - Philippians 4:13
"He will keep in perfect peace whose mind is stayed on thee" Isaiah 26:3
"Those who wait on the LORD Shall renew their strength; they shall mount up with wings like eagles, they shall run and not be weary, they shall walk and not faint." Isaiah 40:31
View my journal here: http://www.deangraziosi.com/real-estate-forums/investing-journals/59850/...
Awesome information! Thanks for sharing!!!
Jay
Thanks for sharing this great info!
Stephan Roberts
"In absence of clearly defined goals, we become strangely loyal to performing daily acts of trivia!"
Here is a FREE property analyzer I've found:
https://tvallc.infusionsoft.com/go/RehabLite/sroberts/
It's a great tool to use to help analyze your deals (and did I mention it's FREE)! But, you really should spend the $97 and get the full premium edition! IT'S AWESOME!!
Hi guys, this post is awesome. I just had a question about a certain contingency that Sully had mentioned. My first and only deal up until this point was an inherited property and when I wanted to add a "subject to being able to acquire financing" contingency my attorney said that the seller's attorney would never go for that. He said people see right through that and immediately think you won't be able to deliver on the deal. Has anyone had experience with this? It seems as if attorneys are involved in these deals in NJ. I have a great one. CBR I'm glad you mentioned working with attorneys because I didn't know if maybe I should've worked with a title company as attorneys are more expensive. I paid mine $1200 to work with me on this first deal, although he earned every dime on that transaction, I'm wondering if that's a good rate going forward. So anyway what are your thoughts on the contingency? And also Sully mentioned a "right of entry" contingency. Never heard of that one.
Great info Matt
Thanks
John and Julie Wakefield
JCW Properties, LLC
lets do it. get it done. see my signature for more from matt
Thanks for the information, but could you elaborate on the above statement please? I'm unclear on just how much work we are supposed to do for the end buyer> I know we have to evaulate the property and crunch the numbers for the buyer for ensure it is a good deal. I would have a contractor provide a rehab estimate. I am unsure if when you say get a property inspection if you are referring to having a contractor come in to provide the info on rehabbing. Also, how and why would we (the wholesaler)would be responsible to get the property insurance ready?
What other things would be on the buyer's due diligence lists that should be done?
Thanks
Always striving to move forward toward better times!
Verna (newage8767)
.
great stuff
Matt Larsons great wisdom always welcomed
WALT