i have a buyer in wait and many potential properties i am going to show him but i am not sure if i have to settle for a bird dogging fee or if i can double close with his money?
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i have a buyer in wait and many potential properties i am going to show him but i am not sure if i have to settle for a bird dogging fee or if i can double close with his money?
Are any of these properties under contract with you now. If so you can do an assignment, or double closing. If not maybe offer it as a bird dog fee. But if you do have contracts, do you have an assignment clause?
Sounds as if you just know of several, but would help if you have them under a contract already.
Sandi
If the properties are not under contract you will usually use a non-circumvent agreement. This is a contract that is used to keep people from going around you.
You can get these contracts from lawyers and even do a search for them on Google. The agreement should state that they cannot go around you and if they or their representatives do they owe you a certain amount of money.
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If these properties have a good margin of equity, I would do a double close.
Here's a quick guide:
Bird-dog $1-3,000
Assignment $3-10,000
Double Closing $10-30,000.
Wish You Well!
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You mention that you may double close with his money? What do you mean by this?
In a double closing there are two transactions.
First transaction is between the seller and you (A to B).
The second transaction is between you and the new buyer (B to C).
Often when you are doing A to B you need money. Are you intending to use the buyers money for this transaction?
Commonly investors will use transactional funding to complete A to B.
When the buyer purchases (B to C) they will use their money or money they obtained from ... say a hard money lender.
If you would like the chance to work with me or one of my fellow real estate investor coaches and our advanced training programs, give us a call anytime to see if Dean's Real Estate Success Academy and our customized curriculum is a fit for you. Call us at 1-877-219-1474 ext. 125