Posted by Sean on May 09, 2000 at 23:57:01:
Since you have Realtors involved you need to come up with some cash for the Seller so he can pay them. This can be easy to do if the Seller has a lot of equity and hard to do if the Seller has little equity.
Let’s assume, for the sake of argument, that the Seller owes only 10% left on the property. Give the Seller a first for 30% of the purchase price and a second for 70% of the purchase price. The first can be sold generating enough cash for the Seller to pay his Realtors and closing costs.
I would definitely recommend that you stipulate that the Seller pay all closing costs.