Posted by Ken (ILL) on March 13, 2001 at 17:59:03:
If you are not taking control of the title of the property, there may not be any recorsive action you can take if your investor decides to stiff you. However, if your investor is an OK sort of person, they usually will give you a “finder’s fee” check @ closing. It may end up costing you some money and time, but you will eventually find the right people to do business with. Please be careful that your state doesn’t have a law that will make you become a “real estate agent” or a “dealer” of Real Estate. If you find that you are headed down one of those paths, you may need to put yourself in the loop, by first buying, and then selling the property, making you a “true investor”. That process is called a Simultaneous Closing. Make sure that your Title company knows what that is before you try doing it. They can help a lot, if they do those. Good Luck and keep finding them!!
MAKING MONEY FOR INVESTORS (need help) - Posted by NykelElliott
Posted by NykelElliott on March 13, 2001 at 16:57:55:
I have found 6 wholesale properties using my marketing strategy within the past month. I get the call from the seller, go check out the property, then I call a local investor to pass it on. The investors I use agreed to pay me $2000 for each property I find for them. I am to get paid at the time of close. One investor has signed on three of the deals I found thus far. I have not used any contracts to insure payment. Can anyone give me advice on what contracts I should use or a better way to do this so that I wont have to hurt someone for my money? =) Thank you in advance.
-Nykel
PS: If you are an investor in the Dayton OHIO area looking for deals e-mail me I would love to partner up with you.
Re: MAKING MONEY FOR INVESTORS (need help) - Posted by Sharon Jones
Posted by Sharon Jones on March 16, 2001 at 10:12:46:
Nykel, that’s outstanding that you have found 6 wholesale properties within the past month! I’m a newbie in St. Louis and will be flipping properties to investors. My question is what type of marketing techniques are you using to find these properties so quickly?
Why not put the property under contract yourself, then assign the contract to your investor?
If you don’t want to go that route, then perhaps you could have your investor sign a promissory note to you, conditioned upon the property actually closing? Best to get that prmissory note notarized or have an attorney draw it up.