Posted by JoeB(Atlanta) on March 17, 2000 at 09:44:50:
Hi Ben, the assignment fee shows up on line 808 (usually, some atty like it shown on other places) as “Assignment fee to XXXXyournamexx”.
Don’t forget to figure out how all the earnest money you gave to the Seller originally (which now gets credited to your investor-buyer) gets balanced out with the earnest money your investor-buyer may have given to you.
All this balancing gets added up on our Assignment Of Contract form and the net result is the Assignment Fee that gets paid to us on line 808.
How do I collect an assignment fee if the buyer has
only a little cash for down payment and closing costs?canthe fee be included in the loan amount and collected
at closing?
Posted by JoeB(Atlanta) on March 16, 2000 at 22:11:34:
Hi Bill, yes we expect the buyer to pay our assignment fee from his loan amt–but you mention a down payment so I’m guessing this is a retail, owner-occ buyer using an institutional loan.
If so, these lenders tend to frown upon an assignment fee (and sometimes even simo closing if you’re making ‘too much money’)–so ask the closing atty upfront “if there’s going to be an issue w/your making $xxx on your assignment fee, paid to you at closing from the buyer’s loan.”