Is this flipping ? - Posted by Anthony

Real Estate Investing
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Posted by Steve-DC on February 07, 2002 at 16:50:04:

You’re absolutely right, “wholesaling” and “retailing” are often both referred to as flipping.

Since he was asking about assingments, I took it to mean “wholesaling”.

-Steve

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Is this flipping ? - Posted by Anthony

Posted by Anthony on February 06, 2002 at 21:32:58:

In the classified sections of a newspaper i found investors with ads reading “I Buy Houses, Quick Closing Etc…”, If I find a house with great terms cant i just assign my rights to buy the house for a fee ?

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Re: Is this flipping ? - Posted by Steve-DC

Posted by Steve-DC on February 07, 2002 at 08:06:06:

Anthony,

Yes, it is flipping…make sure, however, that you qualify your buyers. Call, talk to them ahead of time, get an idea of what they want and where. Possibly most importantly, find out where their money is coming from - are they a cash buyer (if so, do they have proof of funds?) or do they need to get financed.

-Steve

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Re: Is this flipping ? - Posted by Chris O. (Seattle, WA)

Posted by Chris O. (Seattle, WA) on February 07, 2002 at 24:37:04:

I think I asked the following before, but, however comprehensive the response, I can’t really remember the answer, so here it is (again?):

What is “[assigning your] rights?” What are the mechanics of this? Someone with patience wip me out a 1); 2); 3… list that we’re all so fond of.

Here, I’ll even contribute a little.

  1. Find a flip-worthy property.
  2. Meet with the owner.
  3. …

Adios,
Chris O.

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Re: Is this flipping ? - Posted by Tim Fierro (Tacoma, WA)

Posted by Tim Fierro (Tacoma, WA) on February 07, 2002 at 24:09:37:

Yep.

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Re: Is this flipping ? - Posted by david garcia

Posted by david garcia on February 07, 2002 at 16:05:39:

Theres a way where you can flip a home to the retail buyer instead of to an investor & get money.

David
843-293-1018

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Re: Is this flipping ? - Posted by Steve-DC

Posted by Steve-DC on February 07, 2002 at 08:26:25:

Assignment is simply a clause in your contract that indicates you have the right to sell your position in the contract.

Sometimes it’s an actual separate clause, some people just sign their name “Steve and/or assigns”.

What it does is save you from having to go to close with a property.

As far as the process goes, it is as follows:

  1. Find a property
  2. Make an offer (with an assignment clause)
  3. Sign a contract
  4. Market to a rehabber, landlord, etc.
  5. You and your buyer sign an assignment contract (one page, pretty straight forward)
  6. Your buyer takes the original contract and the assignment contract to the title company…
  7. TADA! He’s the new buyer.

There are other examples of assignment in contracts that you’ve probably come across before. You can assign titles to cars. As well, lots of companies that finance higher risk products (stereo equipment for example), likely have an assignment clause in the contract in the event that someone doesn’t pay.

Assignment simply means “signing over” something that you have the rights too.

Hope this helps,

-Steve