getting property under contract and assigning, please help!!!!

[paulym]

Can someone please work me through the entire process of getting a property under contract, and assigning, how to do it and the proper forms to use, am stock please.

[MichaelQuarles]

Good to meet you

DO you have the prospect already or do you need to know how to find them too?

Michael

[ReCoachDennis]

Paulym,

Welcome!

Please give us a background on you real estate investing experience.
It seems like you're pretty new to this.

YOu really need a basic background of real estate investing, especially how to analyze a deal to see if it's even something an investor would consider buying from you.

Secondly, you need to know how to lock up the transaction via a contract or option.

YOu also need to know how to negotiate with sellers as well as how to price your offer.

It's a tall order for a free forum.

I would get some basic skills first in these areas or get with a mentor to avoid making major mistakes.

Dennis

[paulym]

Thanks, Michael and Dennis 4 stopping by. I am very new in real estate investing. I have not done any deals yet. I wanna start from whole selling, where by I find property, get it under contract and assign it to an investor or another buyer. I dont have any money to invest yet. So I wanna start from there. Please help and work or guide me through the process. if I find a good deal, and had worked all the $$$ figures and numbers and the property is a good lead, with propfit potential. How do I get it under contract and how do I assign it to someone else. Do I need money for me to do wholeselling? Please help. Thanks 4 ur help. "preciated.

[MichaelQuarles]

Yes you need money to be a real estate investor.... You don't need it to buy a house but you do need it for buying houses... Business doesnt run without money... And this is a business just like any other...

Good luck

Michael

[LadyDeal]

Hey you all

Well in my short experience with wholesaling I haven't had the need to use money at all because everything comes from the buyer. You Have to use a contract to retain the property and have the buyer lined up to close the deal. Now, if you are looking for wholesale deals to rehab them absolutely I agree that you have to have money but if not I will not use my own money to do any deal when I can use someone else's money.

[ReCoachDennis]

I have to be honest and say Paulym that it's really dangerous to be walked through the entire wholesale process via forum posts.

There are so many things to consider from deal analysis to contracts, to assigning, to estimating repairs and legalities.

I would definitely get a basic wholesale education and work with someone locally that can walk you through this.

Although there is awesome advice here, you usually get pieces, because none of us can see your whole picture for you.

BTW you will need a little money up front for earnest money and option consideration, which you should get back from your end buyer.

Just know the expenses coming in and try and put down as little as posislble which is why you should start off working with private sellers.

Dennis

[ericmedem]

Here's this won't be so dangerous...In fact it's so d#mn easy you could put a deal together tomorrow if you wanted to.

1. Put the home under contract making sure to include Your Name "and/or Assignees" plus an escape clause.. I recommend using an inspection clause vs all the others because it's 100% dependent on your opinion...Rather than something like financing which can get you ROASTED in court.  ( I would recommend using your local real estate forms with a addendum attached with your own modifications)

2. I'm assuming you've used one of my methods and found your buyers in advance right?  Knowing that's true, you'll just need to have your buyer sign an assignment of contract form.  It's at this point that all contractual obligations are shifted to your buyer...Including but NOT limited to Closing dates, tax prorations and arranged expenses.

3. You can collect your assignment fee when you assign the contract or at closing.  HOWEVER be sure that you do collect a NON-Refundable deposit check from your buyer equal to or greater than the amount that you stand to lose if your buyer backs out of the deal and the seller retains your deposit moneys if any...

That's the gist of it.

hope this helps
Eric Medemar

[MichaelQuarles]

Hello Eric..

One doesn't need to write or assignees as long as the agreement doesn't say they cannot assign... At least out here in the golden state...

As for the deposit check make certain that it says within an offer or counter offer "Buyer deposit shall be made payable to seller and is a NON refundable deposit upon acceptance of the original offer by SELLER or counter offer(s) acceptance by buyer and seller.  Acceptance is consummated upon seller delivering to Buyer, Buyers agent or Closing agent an executed contract to purchase or when the buyer delivers to the seller a counter offer which is subsequently agreed to by the seller. In the event that a counter offer is accepted by the seller from the buyer the delivery to the buyer buyers agent or closing agent is not required. The non refundable deposit is not contingent upon Buyer approving the condition of property or any/all disclosures delivered to buyer from seller. In the event the buyer elects not to purchase the property their deposit will be forfeited to the seller.

Just a CYA

Michael