Assigning question

Which contract should be used when locking up a deal to be assigned the "purchase and sale agreement or the purchase agreement. Or does it matter?

Kingjuss,

I don't believe it makes a difference so long as you make the contract assignable by placing and or assigns after your name.

Jennifer

"Happiness is not ready made, it comes from your own actions"
-Dalai Lama

Which method of approach is the best when trying to find out about an owners situation? Is the go and "knock on door approach" too much or is the ol' write a letter approach too little to get the information you need.... I mean if you really tryin to lock up and assign deals. Someone let me in on their way of doing things. So I can decide how to approach this thing.

Thanks Kingjuss,

Kingjuss,

Depends as each situation is unique. I will give you an example of 2 personal experiences, both of which were inquiries via craigslist. When I responded to the ad expressing interest in the property, I simply asked how much was left on the loan, how fast are they looking to sell, the condition of the home ie. roof age, structure, ect.... In both occasions the owner answered all my questions and more.

Hope that was helpful.

Jennifer

"Do, or do not. There is no 'try.'"
-Jedi Master Yoda.

I was told by my realtor that if you assign a deal then legally you would need to disclose the amount you profited on the assignment to the seller. Is this true?

If I am not mistaken, it would be your fiduciary resp. but as an investor you legally do not have to disclose that....You will find that if you are working with a motivated seller they understand that you are helping them and providing a service by getting their home sold super fast!

"It does not matter how slowly you go so long as you do not stop."
-Confucius

Thank u. Your info was helpful. I tell you what my problem is, I am just over thinking the situation. I will make some calls tomorrow. Then I will let you know what became of them. I will stop talking now..... Thanks Again,

Kingjuss,

Hi Determined,

Based on your comment above that either of these contracts can be used I have 2 questions/comments:

1. I see that a lot of people in these forums always say make sure that you add the words "and/or assigns after your name, but I see on both of these contracts that this wording is already there where the Buyer puts his/her name. Or are you saying where you put your signature?

2. The agreement to purchase (page 2) talks about the amount of the down payment. Do we as buyers/assignors leave this blank? Is the contract binding with only the earnest money deposited?

New to investing, thanks for any help you or anyone else can provide.

Thx,

Neil

How do I go about finding good investors, that can and will get the property fast?

You can make a larger profit using Simultaneous Closings than you might with Assignments. They are also great when you are looking get an REO, Shortsale or Foreclosure home.

Scenario 1. Lets say i find an REO, and i put a contract in to buy it. However, i can't assign the property or use "and/or assigns" in the PC. Do i need to obtain proof of funds? What if i don't have end buyer lined up yet and all i want to do is lock up property to show to prospectives, how would i lock up the deal?

Scenario 2. So lets say that i have a contract to buy a property from a seller and a buyer has a contract to buy the property from me. Do i need to get a loan (or come up with the cash), buy the property, and pay closing costs?

I thought that with a simultaneous closing the title company handles all the paper shuffling, and you can buy and sell without any money coming out of your pocket for loans and only pay your share of one set of closing costs!

Lastly, if you think about the above scenario, this works great as long as you have a buyer with cash or who is able to get a loan and bring cash to the closing table. Because you are buying from your seller with your buyer's cash. However, what if your buyer can't get a loan, or can't get a loan in the time frame you need to close in (like short sales...). Am i out of luck and stuck with the property that i just closed on that morning.?.

Mati

Is there a separate contract I use for my seller and a separate contract for my buyer?
or do I just sell the same contract (I used to lock in the seller) to my buyer?

Does my buyer need to know how much I plan to make?

Hi,

I am a real estate agent in California and would like to start investing using assignment of contract. Has anyone here from California? Do I actually need a real estate attorney to handle my assignment of contracts? I am a little apprehensive because of my license. I know the concept but I cannot move forward(what forms do I use? Should I use CAR forms?) Thanks!

If I have a great house that is owned by the bank and an out of state investor that is interested, what do I have to do to ensure the investor does not just bypass me and go streight to the bank. Does the common practice of a Contract Offer work in this case?

coastal funding has title companies that will do double closings in all 50 states. I've never used them but you should have your end buyer ready to buy .
coastal funding will give you a proof of funds also .Good luck

hi i am from colorado and found amaizing deals waiting for me to lock up , but where can i look for investors to assing the contracts? any ideas?

Ok, I'm new..just got through reading "the" book. I think I'm ready to go out, find properties and assign them to other investors just to get a feel for things. I thouht I understood the "assignment" portion until that last answer regarding when the investor would pay you.

"You would get paid at closing from the proceeds of the sale. If the buyer has the money to pay you, then that would have to be written in the agreement prior to closing so there's NO confusion. It's usually considered a double closing and the funds are distributing accordingly. I hope that clarifies it for you."

I was of the impression that the investor would pay you when you assigned the contract over to him prior to closing. Is it necessary or preferred that you attend the closing along with the seller and the assignee?

I am also a newbie doing the same thing. I am 23 years old. This is how I found a list of investors and people who will buy my houses. I looked at the "we buy house" guys on the local newspaper and got their number, I talked to people around me and told them what I was doing, I have also heard that you can get investors by attending local real estate investment club meeting. To find one near you, you will have to google your city + real estate investment club. When you get their number you need to ask them what they are looking for, then you can find a "motivated seller", lock it up and pass it to your investors. You can also do both at the same time but there is no need to rush, do whatever you are comfortable with.

Sounds like we have a lot in common. i am married with an 8 week old baby, but my parents have had to bail me out more that one time. i've also had two vehicles reposessed in the last five years because of poor decisions. I'm so tired of people looking at me like a failure. i am so ready to prove to my family and everybody that I can be successful and be able to afford the things i've always dreamed of.

I would like to have a website design for wholesaling purpose, I thought Dean had a site already to go for anyone interested. If anyone knows how I can get Dean's website or where I can build one, email me please.

Thanks

Can I use hard money to purchase a prop to do a double closing? I have my end buyer lined up already. But my plan is for my agent to place a verbal offer on this particular prop and if its accepted. I will acquire hard money to do the transaction with out having to put a down payment hopefully, cause I donnot have the cash. Close the first transaction ,then close with my end buyer. Does this make sense to anyone and can this way be done. Without having to come out of my pockets.
Kingjuss,

In preparing to get started, I have fortunately located a Funding Group that will provide the amount of funds needed to purchase real estate property on a quick cash closing.

That's half the battle, but we are approved. What peace to go forward now...

I will be glad to share this contact with others, but need your guidance in making it happen. Looks like I need to identify my buyer and lock in a property to work with. Once it's done and everybody is satisfied, I'll have something solid to share with all my fellow DG entrepreneurs...

After getting a house under contract , during an assigning, must you get a title search? How do you get one and what do they cost? Can you do it yourself?

Thanks, Andy

Has any one ever tried or heard of a reverse,were you close with the end buyer before youclose with the seller

Hi,

I know for a fact that doing a double closing is not as easy as it used to be.
Now you work with a 1 day funding company to get your deal closed. I think
you are setting up that newbie to take a fall. You have to have a few deals
under your belt and understand how things work before you proceed.

It is just as easy to assign your contact and make a little less and do
more deals.

Just my 2 cents worth.

Carolina Investor

I agree that it would be a lot easier to just assign a contract. However, every offer that we have made with and/or assigns has been rejected by the bank. At least here in California, it seems that simple assignment of contract is not so "simple" anymore. That's why we are all investigating creative ways of getting around the verbage.

We spoke with our advisor at the Academy today, and he suggested that doing a double closing is the cleanest way right now. I'm curious about what you mean by, "setting up that newbie to take a fall." It worries me, since we are placing 11 offers tomorrow with the expectation that we will use Coastal Funding to do a double close if any offers are accepted.

Could you please be more specific as to why you would not recommend that someone do a double closing on their first deal? Have you had bad experiences?

Thank you for any suggestions!!

Im having trouble finding serious buyers I see properties all the time that I want to tie up, but it just seems I get the maybe buyers so dont want to tie myself up with something I cant afford. How do you seek out the serious buyers so you know you have people to assign the properties to?

Im just starting with all this, (last 4 days). I got really excided this weekend and whent out to find properties to assign to investers.Now I have 4 deals already but I have no invester.I can submit a contract to buy,but then what? Please help. I think these are some realy good deals.

What is the "inner circle" ?

Thank you,

Orit

http://www.deangraziosi.com/node/3653

I just negotiated a $90k short sale on an original $156k note. I now have a contract to purchase the property for the $90k and want to assign this contract to a new buyer. I am trying to figure out the legalities of this situatation and keep getting conflicting answers. I am not sure how it works if I have someone getting a mortgage to assign the contract to as they do not have the cash to pay for the contract as well as the bank letting the property go for the lesser amount, how could all of this work??