Contract question

You need both to assign a deal. If you're wholesaling another property from another wholesaler, you need an option to purchase contract. When your buyer decides he wants the property, you draw up a Purchase Agreement, have the buyer sign your assignment contract,turn both into the title company, and you're good to go.

Im working on a offer with the owner all the houses I have picked are FSBO. So I would need both
the purchase and the assignment contract. After both of these contracts are taking care of
I should turn those in to a title company.

You will have to make sure that your purchase agreement that you have with your seller allows you to assign the contract to another person or entity.

"i.e. (buyer) Poin2122 and / or assignees "....

Your assignment of contract with your end buyer is:

This paper (copy of purchase agreement with seller) is to sell you, the end buyer, all rights and responsibilities that I have negotiated with the origial seller.

Take a look at the forms in "Forms and Docs" category there on the left side of the screen.

The original seller has nothing to do with the assignment of contract.
You and seller = purchase agreement.
You and end buyer = assignment of contract (with copy of purchase agreement to take to the closing table.)

My advice is:
1. Have your contracts looked over and approved or modified by a local real estate attorney. The ones on this site are generic at best and Dean states that.
2. Your title company will require both contracts in advance BEFORE the "closing table" as stated above. Why? Because the deal is between the seller and your buyer, you are out of the picture, you just collect your assignment fee at closing! Also most title companies will not do an assignment of contract unless the assignment contract clearly states the amount you have the property under contract for and your assignment fee for a total amount that your buyer will pay at closing. Full disclosure!
3. Your purchase and sale contract is either assignable or not. Make sure your contract states that "This contract is assignable" You don't have to put and or assigns on an assignable contract.
4. This thread is a great example of where you need to get advice from. Consult an expert in your area!! Not some newbee that has read some books or listened to a webinar! You are going to have to get these experts on your team if you are going to do business anyway! Get out there, take action and learn in the REAL world.

Good luck on your first deal,

Michael Mangham
MD Home Acquisitions LLC