Posted by Linda in NY on March 25, 2002 at 02:36:23:
Mike,
I believe you are supposed to write in your option agreement something like “to myself or to my assignees”. This could be an opener for you to mention this to your prospective seller; you can point this out to him/her casually, without making a huge deal over it.
HTH,
Linda
doing an L/O assignment - Posted by Mike Daly (GA)
Posted by Mike Daly (GA) on March 24, 2002 at 20:59:38:
I’ve been reading the archives about the L/O assignment strategy – sounds like a great way to generate cash while minimizing risk (would have been nice to have heard about it from the LeGrand courses and boot camps I spent so much dough on). My question is what do you tell the seller upfront – is it best to tell him from the outset that you intend to assign the L/O contract, or do you wait until you’ve found your buyer and then bring up the assignment? From my experience talking with sellers, seems like telling them this upfront could be a deal killer. On the other hand, I wouldn’t want to lead the seller on that I’ll be in the picture for the long term, only to come back later and say I want to assign the contract. Any advice would be appreciated.
Re: doing an L/O assignment - Posted by Brent_IL
Posted by Brent_IL on March 25, 2002 at 10:57:16:
Tell the seller upfront that you?re an investor seeking to make a profit. Share with sellers the minimum amount of information that they require to sell their property to you. Your future plans should be revealed sparingly.
Initially, all you need for a L/O is a lease with the right to sublease, and an option agreement. Use your own. You don?t assign the lease; you exercise your right to put a renter into the house. You are the one who is responsible to the seller.
In response to a question, JohnBoy recently posted his verbalization to sellers at http://www.creonline.com/wwwboard/messages/81329.html
I thought it was great.