Posted by jc on July 15, 2003 at 19:47:26:
Hi Kristine, Thanks for the detailed follow-up. Contracts in Wa, where I work, are assignable as well, unless there is specific language to the contrary. I usually just add ‘and/or assigns’ to my name as Buyer. However, I think you make a good point that explicitly stating that contract is assignable prevents seller surprise. Thanks!
Discussing Assignment - Posted by JC
Posted by JC on July 14, 2003 at 11:29:31:
I would appreciate thoughts on how to discuss contract assignment with a seller. As a wholesaler, I always assign the contract. How do I describe this to the seller without scaring them off? -Thanks
Re: Discussing Assignment - Posted by Kristine-CA
Posted by Kristine-CA on July 14, 2003 at 23:31:47:
JC: I don’t discuss assignment or double closing with the seller. The following is in the contract:
Seller acknowledges their (his/her) understanding that Buyer is a real estate investor and may have purchased the property with the intent of leasing to tenants or re-selling for profit. The Seller acknowledges their understanding that this contract may be assigned.
For my purposes, this meets the needs of my escrow company (which requires such a “disclosure” to the seller.) I wouldn’t even include this if it wasn’t required. In my opinion the seller should have no say in what I do with my beneficial interest in the property (since contracts in CA are assignable by law). But since I need this to continue working with my escrow company, I tolerate it. Disclosure has turned out to be a good thing, though. It sometimes helps to prevent sellers from thinking that I’m pulling a fast one. However, one can only do so much about what other people think of you.
I’m not a lawyer–so consult one to be sure your contract includes what it should for your area and for what you want to do.
Sincerely, Kristine