Simultaneous closing - Posted by John

Posted by JPiper on February 12, 2000 at 22:07:40:

Here?s the first rule of life?..BE TRUTHFUL. This means that you don?t tell a buyer you?ve closed on the property if you haven?t. It won?t take long though for anyone knowledgeable to figure out that you DON?T own it?.that will come out when a title report is pulled.

Next, who told you that you could only assign a contract for $2K? I?ve never personally assigned a contract for as little as $2K in my career. You can assign a contract for anything that you and the buyer agree to. That said, it?s possible that some people may balk if you try to get a fee that is too high in their estimation. But stop and think about something. If the price together with your assignment fee pencils out for the buyer, then why wouldn?t they buy it regardless of what profit you?re making? It?s only a question of how good you are in selling your deal. But if you do run across someone who balks at the fee, simply move on to the next one. Just remember though, your total number has to make sense in terms of THEIR POTENTIAL PROFIT. If it doesn?t, a higher assignment fee will make no sense.

If you want to do a simultaneous closing, and you?re talking to investors who have never done one, so what? To most investors it?s only a question of whether they end up in the property at a good price, that they get good title, and that they can make a profit that is acceptable. If they don?t ?believe? this is legal then refer them to your attorney, or refer them to the title company as to how it will work so that they can be reassured that they will receive good title. Again, the problem could only revolve around the issue of good title, acceptable price and profit.

Finally, I notice that you signed your post Natalie but you have ?John? in the email slot. You?re not just being ?mean? are you?


Simultaneous closing - Posted by John

Posted by John on February 12, 2000 at 19:56:01:

I got an offer accepted on a property and I want to flip it to another investor.

Now I know I can either take the assignment route and make a quick $2k … or actually set up a simultaneous closing.

Now I think this is a good deal and the area is hot. However - everytime I call one of the investors I have lined up, they asked me if I have actually closed on the property and that they don’t usually buy from other investors if it’s not an assignment.

How am I supposed to go around this? Should I tell them that I closed? Or would that be mean? Or just move over to the next one till I find someone who will take the deal? Or else just give up and do an assignment?

Will appreciate any input…