Purchase and Agreement Contract

1 Reply

1.) When selling a contract as a whole saker, does your end buyer fill out a different contract from the seller?  In the file listed on BP I only see one form and thats for a seller.

2.) Where do you put the assignment fee on the contract?  I seen a contract on BP that said "Legal consideration for this agreement is ten dollars ($10.00)". Do we change that to the profit we want to make? ( for example $5,000)

Phillip,

You are assigning the contract you have created with the seller.  All of the terms and conditions that you and the seller have agreed to are "assigned" to your end buyer/investor.  The fee you charge to the buyer/investor is indicated on a separate form called an Assignment Agreement.  Once your buyer/investor agrees to the fee, you take both the purchase agreement with the seller and the Assignment Agreement to a closing attorney to begin processing.  You will need to establish how you are going manage the seller about this arrangement.  Do you they know you are doing this?  If so, good.  Setting expectations with the seller is great.  If not, will you do a double closing?  Your RE Attorney/Title Company can coach you on this.

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