Posted by dewCO on November 18, 2000 at 20:46:43:
Try to find other investors in the area and see who they use. Also, have you called all the title companies, adn if you have try some in larger nearby towns if you aren’t in a large metro area.
And who is your selling using, he’s probably doing what you want to do!!!
Double Closing(Bronchick If Possible?) - Posted by Big Harold
Posted by Big Harold on November 17, 2000 at 05:59:36:
First, I want to thank everyone here for being so very helpful to me, a newbie. You people are simply the best!
Anyway, I have potentially a GREAT deal in the works, but I need to know how to finish it off, so to speak. I’ve found a property that’s been totally rehabbed, is gorgeous now, and is sure to be appraised at $55 to $60K. I’m buying it from another investor for $30K, and have a couple ready to buy it for $50K. Good spread, huh?
My problem arises from the double closing deal. While many posts on this site say title companies will do this, where they’ll let my buyer “buy” the property from me for the $50K, then 1 hour later, I really buy the property from the first seller, and then give the key to my buyer and keep the difference, I haven’t been able to find a title company to take this. Each and every one I’ve called has been too afraid of fraud, and NONE has experience with this sort of thing. How in the world am I ever gonna get around this to close this awesome deal, and maximize my profit? It’s imperative that I close this soon, as I’m planning to use the money for a down payment on a home for me and my family, which is a great deal I’ll have to share later!
Thanks in advance for your insightful replies - this site is the best on the web!
Harold Wilson
Real Estate Investor
record an option, get paid in a single escrow - Posted by leslie
Posted by leslie on November 19, 2000 at 02:12:35:
This is a short version.
Will the seller give you/your partner a recorded option at $30k? If so then get an assignable purchase deal in writing from the seller. You will assign this to the buyer you found, subject to the recorded option.
Title companies are quite used to asking leinholders for a payoff demand. The option becomes similar to a lien. You will submit your payoff request for $20k to escrow to satisfy the value of your/your partner’s interest (the recorded option) in the property. I have done this a lot and it has not bothered the big name title companies so far. In essence you take an equity/lien position rather than double escrow it.
Leslie