FLIPPING TO RETAIL BUYER - Posted by JESSE

Posted by michael on November 15, 2006 at 14:55:33:

  1. The rehabber does not give you a deposit.
  2. Why would you put it on the market for a rehabber to pay full price 319 K. (your not looking for a rehabber, your looking for a buyer) however, to answer your question,
    In your contract, you should use your name as Jesse and/or assigns and tell the seller that at the time of closing, you are not sure whether the final contract will be under your name, or your “partners” name (nence the rehabber)
    you will get the assignment fee, the rehabber needs to obtain the financing and will be responsible for final sale

a point however - > do you already have the rehabber i place and if not, this is a key to your successful transaction. Also, with only 29 K for profit, it may be difficult to find a rehabber and it may be better for you to complete the entire transaction by yourself.

FLIPPING TO RETAIL BUYER - Posted by JESSE

Posted by JESSE on November 14, 2006 at 10:25:59:

Although I’m aware of getting fixers under contract and assigning my contract to a rehabber for an assignment fee, I don’t know how to handle the situation I’m in now.

I put a property in foreclosure under contract with a simple purchase agreement last week at 290K. It’s a nice house that doesn’t need much work and would sell to a retaii buyer most likely. I’m advertising it right now to in the papers/open houses/signs for 319K and i should get close to it. My problem now is i’m not sure how to logistically close the transaction.

Being that I have a purchase agreement with the seller, do I just get a small deposit from the buyer and assign that purchase agmt to him and guide it to close with my title company? Or do I need a double closing? WIll retail buyers lender be a problem? How do i deal with the buyers attorney?

I have since been told it’s easier to just lock the property up with an option, and then sign a purchase agmt with the retail buyer as the Seller being “Person of Record” and the Buyer obviously being the retail buyer. THis way, I just get paid off at closing as to clear title (my option) very similar to how a judgement that would need to have been paid?

Any help with this would be greatly appreciated…thanks