Hi All, doing my first wholesale deal and I've been reading old discussions and I'm confused. Does the SELLER get to see how much my fee is on my assignment contract before closing? They know I have the right to assign and I have been very forthcoming with my buyer - he knows how much I'm getting the property for and is cool with how much I am making but the sellers might not be too happy if they see I'm making money assigning the contract. How does this work? -k-
On an assignment contract, the seller will see how much you're making.
If you think the seller may get upset you can look into doing a double closing, it will cost you a bit more because you are paying twice the closing costs, but the seller will not know how much you are making.
Hope that clears things up a bit. Good luck!
That is how it works. You are assigning your rights to another entity for a fee. Just make sure to CYA. Once you put it under contract with the seller. File an Memorandum of Sale in the Land Records. This prevents other parties from going behind your back to make an offer on the property. Then do your assisgnment contract..
@Kim Handelman If you have any interested in speaking with local attorneys who are experienced with this, I could recommend a couple good people. They can walk you through it and set you up with any contracts you need.
Free eBook from BiggerPockets!
Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!
- Actionable advice for getting started,
- Discover the 10 Most Lucrative Real Estate Niches,
- Learn how to get started with or without money,
- Explore Real-Life Strategies for Building Wealth,
- And a LOT more.
Sign up below to download the eBook for FREE today!
We hate spam just as much as you
You must be a BiggerPockets member to post on the forums
Join the world's largest, most open Real Estate Investing Community online, 100% free forever!