Posted by marla on March 25, 1999 at 12:43:37:
My sentiments, exactly!
Thanks, Doug!
Marla (Santa Clara, CA)
Need help through an impasse. (long) - Posted by marla
Posted by marla on March 23, 1999 at 12:54:14:
Below is a duplicate of an earlier post I made to the Cash Flow Forum. I’m also open to suggestions for other ways to get through this impasse regarding the buyer’s unwillingness to put up a significant deposit/option_fee and my unwillingness to take the property off the market for so long without compensation if he wants to back out and is unable to find a suitable assignee.
I want to thank all the creative/knowledgeable/experienced investors who participate in this forum and share so generously with all of us! Although I’ve reached an impasse with this buyer, I know I wouldn’t have been able to get this far into what could be a really good deal for me without the help of all the pro’s. I’d especially like to thank Ed Garcia, again, for very generously sharing his expertise with me over the phone a couple of months ago!
There’s one thing for which I’m especially grateful to this forum (and the Vaughn’s for providing it!) … it’s that I’m not emotionally attached to the outcome of this current deal. From what I’ve learned (either directly from the group members or from their references to other sources of info) I know there are several other options open to me if this deal fails. It’s so liberating and I thank you!
Marla (Santa Clara, CA)
(BTW - the property is in Oregon, in case that’s significant.)
~~~~~~~~~~~~~~~~~~~~~~~~
should I accept a note as non-refundable option?
After lengthy negotiations for the sale of a SFR on land to a developer, we’ve
finally agreed on everything but the deposit/option_fee. The buyer’s offering a
better than FMV price in return for my waiting 2-3 months longer than the usual
6-8 months for pay-off.
HOWEVER, he wants a free look-see for that period! He doesn’t want to have to
come up with anything until after preliminary plat approval (~6-9 months) and then
he wants to put up only a small promissory note. Neither of these is acceptable to
me.
I’m looking for advise about whether or not to take a note secured by real estate
(his or a partner’s) in lieu of a cash deposit, with the intent of selling it on the
secondary note market if he backs out on the purchase of my property. (I’d just
hold the note in escrow and execute it only if he backed out on the purchase.)
If I do take a note, how should I structure it for maximum appeal on the market?
How much discount should I expect to give for a ~$60K unseasoned note? What
else should I be looking at?
All advise/caveats welcomed!
TIA,
Marla (Santa Clara, CA)
Show Me the Money - Posted by DougO(NM)
Posted by DougO(NM) on March 23, 1999 at 19:32:48:
NO pay - no play. You are in control. If they don’t like it, find someone else. This persons yankingyour chain
DougO