Forms needed to sell on contract ? - Posted by Bill Taylor

Posted by David Butler on April 26, 2007 at 12:46:31:

Hello Bill,

Generally, you can easily obtain the necessary forms through the escrow agent, or closing attorney you use to close the deal (highly recommended you use neutral third party licensed to do closings, BTW…).

Otherwise, local stationary stores, and a number of online websites do provide the necessary forms very inexpensively. Do a search and you should easily be able to pull up several.

As to structuring the deal itself. First step is to ALWAYS have as clear a picture as possible of your needs and objectives, as opposed to your desires. From that point, you look to make the best deal you can for yourself - which obviously will require the other side to agree.

Beyond that, there is a ton of preexisting discussion that goes right to the heart of your questions here. But briefly, how long you must hold the note to season it is a function of the deal itself. Under the right circumstances, you can sell the note shortly after closing, if you are able to get a price that satisfies you.

Payor credit, property value, down payment, economic climate, and exposure of the prospective note to prospective buyers are all factors that will determine the viability of the note at the time it is offered for sale; as well as the price that an investor will pay for it.

Mike Morrongiello, John Behle, and myself have all addressed the various factors numerous times here - including recent discussion found right down below from several weeks back.

You can tap into this valuable resource, as well as related helpful discussion, by entering terms such as “creating notes”, “simultaneous closes”, “safe harbors”, “note clauses”, “note pricing”, and similar terms as your keywords in the “search” engine directly above.

Good Hunting, and best wishes for your success!

David P. Butler

Forms needed to sell on contract ? - Posted by Bill Taylor

Posted by Bill Taylor on April 25, 2007 at 11:50:05:

I am interested in selling my homes on contract but need the proper forms and notes so I can season them so I might sell the notes or just maybe continue to carry them myself at my option. Is there a site on the internet that I can get the proper forms taht I can fill out? How long if I decided to sell the notes will I need to have the seasoning to get an attractive price for the deals? What kind of terms, interest rate, term in years to carry, baloon? Is there anything I should put in the agreement to really protect my a**