OfflineHi DG Family
I am a new bee here in San Diego California doing wholesaling. So average price of homes here are around $500K, assignment fees could be $20-50K.
So once I find a deal and lock the purchase contract I email blast to my buyers, they come and look and one of them takes the deal including the assignment fee, but once I have to sign the "assignment contract", and as soon as they see my assignment fee they get cold feet and back out.
So the question is other than double closing is there a way in escrow to assign the purchase contract to the new buyer without having them see the assignment fee?
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""Best Transactional Funding"" you have the deal locked up from seller and you have a buyer, you do a back to back closing, the Best Transactional Funding handles everything you pay them a fee for there services, its not bad.That buyer didnt want to pay you your fee thats the reason.Some are just plain cheap.No one will know with Transactional Funding they even have proof of funds letter as well, they have other services as well( 732-938-2330 ) they have a website as well, success, Jim
jbischoff
Hi Said, has that happened to you? Until it happens, I wouldn't worry about it. If you think it could be a problem, maybe have that discussion with your buyers before hand. If you were a rehabber and I presented a deal to you, would you say no to making $70k because I am making $50k? My problem that I have had is the last 3 properties I found that weren't on the MLS I lost to realtors promising the owner an unrealistic selling price to get the listing. In the end, after the realtor's commission, the owner would have netted more taking my initial offer. But that is a result of the motivation of the sellers I am dealing with. They have the time to list with a realtor. The other side of the coin is, that verifies the values and offers I am making as being correct for the market place. In the end, I think if you are fair with your buyers, you will both prosper. I'm trying to be fair with my sellers, but the realtors are the ones prospering at the expense of the home owner. Very frustrating.
once you build a relationship with an investor buyer, he will not care how much your assignment fee is as long as you give him a great deal! Or as some say... you "leave enough meat on the bone"
Even if you do a double closing, the sales of properties are public information, so your buyer may not find out initially, but once the deal is closed and recorded he can look up how much you paid for the property....
With that said, I believe that the best way to success is transparency.
Good luck to you!
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/...