Buyer and seller made a deal, who can handle the paperwork?

4 Replies

We want to sell our fourplex to another investor and would like to save some money on commissions.

Recommendations in the East Bay/ Bay Area for someone that will walk us through the paperwork process for a flat fee?

How much should I pay for this service?

If you and your investor buyer have agreed upon the price and  terms and are ready to close, you can go right to escrow instructions with no purchase agreement.  Call Chicago Title or a title company of your choice.  Speak to an account rep and tell them you have a deal you are ready to put into escrow.  They will set you up with an escrow officer.  You give the EO the name of the property, the terms of the sale and the buyer and seller info.  They take it from there.  They order a title report, collect the buyer's money and get signed paperwork from both of you. The EO will need to know who is paying which costs.  Escrow fee is typically 50/50.  Title is usually buyer in Nor Cal for some reason (it's a seller cost down here).  

The buyer may request paperwork regarding the tenants, leases, deposits, etc, and depending on when you close, the rents may be prorated.  If your buyer is getting a loan, there may be some additional costs and paperwork.  But honestly, it really is that easy when you have an experienced investor buyer. 

@Tabitha 

@Tabitha K.  undefined,

If you're already comfortable with all your documents, there are no carry-backs, uncertainties, etc.. you can just go straight through escrow as Kristine Marie Poe recommended. 

If you're taking a carryback on the deal or want to document a note, recording, by an independent third party etc, you can use a company like Iron Oak. I have not used them, but I know they do that service from a recent meetup I went to.. 

They're here in the Bay Area. They are a private money lender, but also do the documentation..

https://www.linkedin.com/pub/ironoakprivatemoney-h...

Good luck!

Is seems like you have several options to have someone draw up a purchase contract or an agreement at the closing table. 

I'm not sure if a title company or closing attorney would be agreeable to schedule a closing to purchase without a purchase contract being submitted prior to scheduling the closing.

In any event, they will charge something to draw up the agreement a part of the closing costs. 

You could also hire a licensed agent or broker to draw up a purchase and sale agreement on the standard forms that are used in your market. They fee would be negotiable to whatever you can agree to with the broker. 

This way you would have the agreement in a standard form that the title company or attorney sees frequently. I imagine it would be cheaper and less headache to work out fine details of your transaction before the day of closing.

Taking a short cut can come back to bite you.

Joe Gore

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