Presumably, the contract you have is legal in the other state. Does it permit assignment? If so, assign the contract just as you would if the seller were local.
Presumably, the contract you have is legal in the other state. Does it permit assignment? If so, assign the contract just as you would if the seller were local.
Thanks J Scott for the quick reply. Yes it is assignable and the seller is in NY so I would have to check. How would closing work though if the seller cant physically come to the title agency?
You need to send the contract to the seller via Federal Express next day delivery to get signatures. Lock it up!
When you find your buyer, turn in both contacts and your assignment contract in to the title company and notify them that the seller is out of state so closing docs will need to be sent via Federal Express. This will add $50-$100 to the closing costs.
I've closed many many wholesale deals where I never met the seller. It works just fine but you do need to allow a few extra days for docs to to come back. Funding (your payday) won't happen until the signed closing documents come back from the seller.
You need to send the contract to the seller via Federal Express next day delivery to get signatures. Lock it up!
When you find your buyer, turn in both contacts and your assignment contract in to the title company and notify them that the seller is out of state so closing docs will need to be sent via Federal Express. This will add $50-$100 to the closing costs.
I've closed many many wholesale deals where I never met the seller. It works just fine but you do need to allow a few extra days for docs to to come back. Funding (your payday) won't happen until the signed closing documents come back from the seller.
Man you're doing it the hard way. Fax or email is a lot faster and cheaper.
Thanks Jackie Lange James Hiddle so there really isnt to much change? Im attacking this one but have probably less than a week to do the deal. I will keep you posted!
fax and email is great except most title companies demand an original document with wet signatures for both the purchase and sale contract and all closing documents. They will not accept a fax or email copy.
Some even require a notarized sales contract to make sure the seller is the person who signed the contract.
Presumably, the contract you have is legal in the other state. Does it permit assignment? If so, assign the contract just as you would if the seller were local.
Cameron -
I think I misread your original post. I was thinking the property was in another state...it sounds like just the owner is in another state.
Given that, ignore my sentence about the contract being legal in another state. The contract should be legal in your state (where the property is), and should be closed by an attorney or title company in your state.
As others have said, the fact that the seller is out of state is completely irrelevant, as long as he can sign the docs. When it's time for closing, the attorney or title company can email him the docs and he can sign them in front of a notary and mail them back.