Got Questions? Carol Stinson's Wholesaling Q&A.

Hi Gerard - I've provided below a copy of the assignment contract I use. I hope this helps.

Dave Visco
Davara Real Estate Solutions

ASSIGNMENT OF CONTRACT

Date:

Owner:

New Buyer:

Original Buyer:

Contract Date:

By this assignment of contract, and in consideration of an earnest money deposit of , hereby exercises his unqualified right to assign all their rights, obligations and responsibilities in the above-noted contract dated , with to a new buyer. The new buyer of this property hereby agrees to fulfill all of the same conditions and terms of the above-referenced contract, including but not limited to all settlement requirements as originally stated.

The total consideration for this assignment is , to be paid at

___________________________ ___________________________

___________________________ ___________________________
Original Buyer(s) New Buyer

___________________________ ___________________________
Date Date

is there a special contract you use for a referral or bird dog fee? i am thinking about being the bird dog on a property and would like to have some kind of contract between the buyer and myself before i give them the address or anything like that. how do i keep myself from being pushed out of the deal? thanks.

Carol,

Thanks so much for taking the time to do this for the rest of us. Obviously, this is not something you need to do to be successful!

Reading yours and other people's postings-people who are actually doing it-makes the rest of us know that is IS possible! And most of us REALLY NEED to know that.

Thanks so very much. Please continue...

Karen

Wow Carol, you are getting slammed with questions!!! =x

Let me see if I can help out some!

Susan(sboeve):
REO's will 90% of the time require an earnest money deposit when making offers on listed properties. In fact, the more earnest money you are willing to put up, the stronger your offer will be. Some other things to make your offer stronger are: No Inspection Contingency, Cash Offer, Proof of Funds, and fast close. REO's are definitely not something for the beginning investor. If you are just starting out, I would stick with doing deals with regular motivated sellers for now. If you want more good info on flipping REO's, I recommend www.flipthiswholesaler.net. Steph's blog has a lot of good free information on there.

Lauri(douglauri):
What is in it for the agent is possible listings. Once the agent gives you expired listings and you start doing your marketing, you will start to get phone calls from motivated sellers. Not all of those calls are going to turn into deals, because some of those sellers will want full value for their property. In that case you would say to them, "hey I know a really good agent who can help you if your looking to try and sell for that amount". Then it becomes a win-win situation for the both of you. In fact, once you started throwing him some listings.. see if you can get MLS access out of him too! =)

Charisse Rudolph:
The only way you know your buyers are for real is to ask for a proof of funds. A lot of times you can tell who is a serious buyer and who isn't just by speaking with them. Ask them how many properties they have or how many flips they have done. Ask them about the most recent deal they have done to try and get a better idea of what they are looking for. As for the assignments and double closings I am not too sure for California. I know there are some different rules there, but I had no idea you couldn't do assignments. I would definitely attend some local REI meetings and network with some other wholesalers to ask around and see how they are closing deals. It's always best to network with those in your area, because they will know it all!

Don Angelo:
Being out of an area you are trying to invest in, your best bet is to partner with someone who is on the ground in Atlanta. I actually do a lot of short sales in that area, and I know there are definitely other DG members on here looking to get started in that area. Having a partner in Atlanta will allow you to use bandit signs, REI Meetings, Sheriff Sale auctions, etc. As for staying virtual with it, you can also go to www.listsource.com and purchase a list of absentee owners who have recently bought properties in the last 6 months. You can then send them mailers with your phone # and website. Good luck! =)

Gerard(GBU Real Estate):
The whole step by step process is in Deans book's "Profit From Real Estate Right Now" and "Your Town Your Profits". There is really too much to type here to go step by step for wholesaling. I highly recommend you read those books. It is what changed my life, Carol's life and so many others on this website. You can also go to Carol's website at www.realwholesaling.com. She has so much good information on there! I honestly don't know of a better wholesaling blog anywhere on net! (and I'm not just saying that because I created her page) =)

Sorry I can't keep going guys, I have to try and get some sleep! I will try and come back later on and continue to help.

Thanks,
Larry

I really appreciate the response. Very good suggestion to guide sellers to this agent. I love it.
Lauri

I very much appreciate all of the information you shared. Not only was I wondering about the REO's, but also about how you get agents to give you expired listings.... that makes sense! And, it makes it seem less unethical than paying them a cut for the deals you get from the list.

Thanks again!
Susan

Carol

Many thanks for all the time that you give to offer advise,suggestions,
and encouragement to the members of the DG Family.

Regards
Tom

The greatest exercise for the human heart is to bend down
and pick someone up

Thanks you provided some great information. I really got alot out of our journal post. Do you have a journal? I would love to keep up with you.

Lauri,
I had to LOL when I read your post. I feel your pain. I have been reading on this website for days trying to figure it all out. I've watched every video Dean has sent me and it still hasn't quite clicked. If one more person on a video says it's easy, I might throw something at my computer. It may be easy now that they have done their 15th deal but holy cow it's not easy at first. That's why I believe this is not a scam. We are going to have to work our butts off to make any of this work and who knows in the end what will work in "My Town". I have not read further down to see if Carol replied to your post but I really hope she did. I'm not going to give up though and I hope you don't either! Good luck!

Thank you Larry for helping out.

For many of you who don't know Larry he is one of my partners here on the East Coast and a very good friend :-)I am glad he stepped in to help all of you.

Larry started out like many of you here on DG. Larry and I actually met here on DG. I saw his motivation and determination to make this work and decided to mentor him. Larry is now kicking it here in PA and NJ with Short Sales.

I hope everyone has gained from his knowledge.

Larry thanks again

If a homeowner contacts me from my expired listing mailing I go and meet with them to discuss their property. if it is not something that I can work with and wholesale than I do refer that homeowner to the agent that sent me the expired listings. Sometimes you just cannot make a deal with a large enough spread to wholesale but the owner needs to sell. This is where the Agent comes in to help them get the property sold. Most Agents are happy with this type of relationship with you because you are working to get them listings as well.

Thanks for the advice Flip Kid...I really do appreciate it. God Bless.

Thank you for the infomation Carol which i will look more into the probate area since i have my probate web sit up and running, thank to Dean, but i was also able to get my hand on people that are back on their property taxes and the town will soon fill forclosure on them. Do you have or Dean have a script for those type of people.

Thanks
Harry

You answered another question I had. Best way to contact. I like the idea of a letter instead of a phone call. I know how it is to be the owner of a house whose listing just expired, again.
Passing the house to the agent who gave me the listings is the perfect way to pay him back.
Lauri

Hi Carol, i knew I had the site noted in my computer before but i guess i lost the link to it, can u please, please send me the link to New Jersey Public Records, Looking for Property Owners???? thanks very much

Carol: I am finding out the Hall of Records is now charging $15 per prop. for a property search (Ca.). What agency do you use to look up records online that does not cost?

Thanks in advance

Andrew

What type of records? If you are looking for tax records try http://propertyshark.com.

NJ Tax records website http://tax1.co.monmouth.nj.us/cgi-bin/prc6.cgi?&ms_user=monm&passwd=data...

Carol; I needed to look up properties to see if they have 2 or more mortgages on them. Thanks, I will give this one a try.

Andrew

worked like a charm! I had to change it around abit to post in different areas on cl but I added 6 new buyers.

I've come across a couple of wholesalers that are selling their properties in large bundles 20+ properties. Do you know how someone could structure a deal to acquire a portfolio using no money down techniques, or is this a good strategy to take as a new investor?

Also, can you explain, a ghost ad, and give me an ex. I'm pretty sure I understand, but just need clarification.

Thank you for making your knowledge readily available! I enjoy frequenting your website!

Ok I have a secret to tell... If you go to my website and scroll over the "site map" tab. You will see a page for ghost adds as well as some others.
I know this is an odd place to put them but I don't want the whole world getting my secrets, just my DG family. I get so many hits on my webpage a day ( I am now he second page on google yey!) I needed a place for you guys to be able to get to the stuff you needed without blabbing it to the world. So I hid them there... shhhhh!

Hi Carol. I'm researching an expired listing. I've found the owner's name. I'm ready to mail out my (your:o) letter to them. would it be better to mail it to the property address, or should I try to find out if the owner lives separate from the property? Thank you so much!

Penny

Thanks Carol, love the new changes to the site.

Carol ..........YOU ROCK!!!!!!

Thanks A Bunch and Great Success on Your Journey Always!

JJD

You want to mail it directly to the owner. They may not get it if you mail it to the property address. If there is a tenant they may throw it out or it may end up sitting in the mailbox and never get into the owners hands if they do not live there. I would suggest that you find the owners address at http://propertyshark.com and see if it is different than the property address before you mail. If not than go ahead and mail it hoping it gets to them.

Carol, when you seriously start flipping properties on a regular basis (2-3 per month+) how much of the profit should you actually spend because even though I'm not too familiar with the real estate tax situations I've heard you want to invest profit back into other deals to defer the taxes. I would love to know if you can spend some of that money you make without getting killed on the taxes. Thanks

I actually put 15% of my wholesale profit into a savings account for taxes purposes. Make sure you save all receipts for expenses to write off.

Hi Carol,

Im a nu be I just wanted to know when assigning contracts is it better to use title companies or real estate attorneys? how do you the best title company or real estate attorney to use?

Thanks
J

I'm so happy to hear that you are taking time out for you and your family. I'm sure you had a great time together. I just got back myself from a combination trip to see my family in IL, WI and to visit the gavesites of my two children in IN. Picked up Real Estate Mags etc. and talked to friends about the local areas that might be best to consider looking for wholesale deals. Now just have to make some phone calls, find a Realtor (the last one wasn't too excited about submitting lots of offers, sooo. here we go again. She was referred to me by the Broker of the Keller-Williams Office,,so she talked to me but the enthusiasm wasn.t there. I'm anxious to get started again and thank you so very much for being so generous with your time and sharing your expetise in wholesaling. One question..a preforcosure FSBO is willing to accept your discounted offer,..but the price you've agreed upon is less than io owed. on the mortgage. I'm assuming this would be considered a short-sale and would need to be approved by the Mortgagee. Could you explain the process and ..also is an assignment possible in this situation. I know I've seen the answer to the assignment question before, but my tired ild brain just isn't thinking at the moment. Thanks a bunch for your helpand correct me if I've made any wrong assumptions. Semper Fi D-LO