Making offers to FSBO - Posted by kris (wi)

Posted by Brent_IL on October 01, 2003 at 13:47:56:

The majority of the time, when you read posts on this site about making offers, we’re referring to offers that are made directly to the owners of record, i.e., FSBO’s.

There is a very restricted exception, but to be enforceable a real estate contract must be in writing. It?s called the parole evidence rule. Verbal sparring is simply negotiation. You can use any kind of written contract that fits your needs and meets the legal requirements of your state. The best thing to do on your first deal is to get a real estate contract that is used in your area and take it to a qualified REAL ESTATE attorney to modify it so it reflects what you want to accomplish. Ask the lawyer to explain what?s going on. On your next deal with identical circumstances, you can scan the contract and change the names and the figures at minimal expense.

If you are wholesaling, it might be good to check with the folks to whom you intend to flip to find out what they’ll accept.

Making offers to FSBO - Posted by kris (wi)

Posted by kris (wi) on October 01, 2003 at 12:29:27:

I’ve already looked for this in the archives but could not find what I was looking for. My question is how do YOU make offers on FSBO? Do you use a standard Realtor contract, a written offer of some kind, or do verbaly ask them to sell it to you for X amount?

I’m planning on doing wholesaling if that makes a difference.

Re: Making offers to FSBO - Posted by kris (wi)

Posted by kris (wi) on October 01, 2003 at 19:41:36:

Thanks guys. I just was’nt sure if I had to pass a piece of paper back n forth with my offer on it or if I could do it verbaly with the seller.

KISS - Posted by DaveD (WI)

Posted by DaveD (WI) on October 01, 2003 at 17:09:42:

Assuming you are belly to belly with the seller you want to keep it simple. Frankly, the seller doesn’t care what paperwork he needs to sign, because he is more interested in a solution. Make the deal first; writing it up is only a formality.

We’ve tied things up on “my” contract, on yellow legal pads, their letter of intent, and a napkin (really). Don’t sweat it. If the parties are willing, it really doesn’t matter. If the parties later don’t see eye to eye, odds are your deal will fall apart regardless of how neatly you put it together. Start with the contract Realtor-types use in WI. They will be well accepted by anyone you wholesale to. Once you wade through all the addendums and attachments which complicate and intimidate (the seller), my guess is you will start to simplify. Go get your deal!
All the best. . .