Need help with Power of Attorny - Posted by osirus

Real Estate Investing
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Posted by osirus on December 09, 1999 at 13:32:47:

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Need help with Power of Attorny - Posted by osirus

Posted by osirus on December 08, 1999 at 23:04:37:

Today I got a verbal agreement from a seller. The home is worth about $50000 and needs about $15000-$20000 inhab. The seller agreed to take $10000 cash with $100 binder and close in thiry days. The 81 year gentleman who showed me the home is the cousin of the actual homeowner who lives in New Jersey (the home is Florida)and was hospitilized today with a broken leg.

I downloaded Bronchicks Power of Attorny form of his website. Would I be able to close this deal with the homeowner’s cousin if the homeowner signed and notorized this power of attorny form giving the cousin the authority to act on her behalf? Would the title company have any problems with this transaction? Would I have to record the power of attorny form before we signed the purchase agreement or can everything be done at the closing table?

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Re: Need help with Power of Attorny - Posted by JPiper

Posted by JPiper on December 09, 1999 at 07:30:00:

You could always ask the title company. BUT, why do you need to do it with a POA to begin with? If the seller can sign a POA he can also sign the closing papers. Just have the title company prepare the documents to him and FedEx them to him. Some of the documents will need to be notarized, like the deed, but so does a POA. Notaries can go wherever he is.

The seller doesn’t have to be there where you are to close.

JPiper

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Re: Need help with Power of Attorny - Posted by osirus

Posted by osirus on December 09, 1999 at 10:49:29:

""You could always ask the title company. BUT, why do you need to do it with a POA to begin with? If the seller can sign a POA he can also sign the closing papers. Just have the title company prepare the documents to him and FedEx them to him. Some of the documents will need to be notarized, like the deed, but so does a POA. Notaries can go wherever he is.

The seller doesn’t have to be there where you are to close. “”

I understand the above.But I am not sure about the logistics to make this happen within the context of wholsale flip transaction. For example, today I am to meet with seller’s cousin and give him my purchase agreement along with $100 binder to mail to the seller in New Jersey. My fear is that unexpected things will happen preventing a smooth closing since this would be a long distance transaction. I thought it would be better to deal with some locally here in Florida (the cousin). Would the following be the correct steps?

  1. Fedex purchase agreement along with closing documents from title company to seller in New Jersey

  2. Start due dilligence (order title report, check for code violations etc)

  3. Contact people on my buyers list and send them to look at the house. Set up closing to sell on the same day as I am set to close with my seller.

  4. I assign my contract to my buyer for $15000 plus closing cost. Then title company cuts me a check for $5000 and then Fedexs the the remaining $10000 to my seller in New Jersey.

Is that about right?

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Re: Need help with Power of Attorny - Posted by JPiper

Posted by JPiper on December 09, 1999 at 12:14:27:

Here?s how I would probably handle it.

  1. Fax purchase agreement to seller. (Fax machines are everywhere.) If this can?t be done, fedex the original.

  2. Upon return of the documents either by fax or by fedex if you had to do it that way, take the documents to the title company so that they can begin preparation of closing documents and title search.

  3. Begin other due diligence.

  4. When closing papers are ready have the title company fedex these to the seller. This can be anytime. When they are returned they will be held pending either YOUR closing or your assignee?s closing. If the original offer was a fax, send the original offer for original signature.

  5. All along you should be marketing to find an assignee.

  6. When you find an assignee you assign and get your check.

  7. When the assignee is ready he should go close?..the seller?s papers should have been returned by then. The seller has probably already closed. Buyer and seller don?t have to close the same day.

JPiper

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Thak you - Posted by osirus

Posted by osirus on December 09, 1999 at 13:31:16:

Thanks for the help;-D
I just got back from speaking with a nice lady at the downtown reasearch facility of a title company. She said mail closings are done all the time and all I would need to do is contact a title officer to get details.