Off-market contract-when/what to sign?

Question

I'm interested in going after off-market deals without a real estate agent. My plan is to start marketing and reaching out to individuals. I'm a bit unclear as to the ideal process though. Do I set up a time to meet with them, look at the property and make an offer on the spot and try to get them to sign? Or is it best to make an offer the next day or something?

I guess my concern is that I'd like to get them to sign something as quickly as possible, but I want to remain flexible enough to be able to get creative (offer to buy subject to, owner financed, cash, whatever).

What is the ideal order of operations? Any books out there that go over this process in detail? Also, I'm in Utah, if that matters.

Effram Barrett · Answer

One thing you can do is pay a realtor or RE attorney a one time fee to show you the ins and outs of your states contract. It will be the most binding document between you and the seller so you want to know how to navigate it and also explain to the seller what they are signing. Gurus will teach you to have the seller sign a napkin and put down $10 earnest money, but a contract is best.

The investment in learning your states RE contract is worth it's weight in gold.

Stephen Keighery · Answer

@Greg Clark personally I won't go to a property until I have run numbers and agree on a "ballpark" price with the seller. No point wasting time if you aren't in the same ballpark. Once I inspect the property I get back to them in about 4 hours with a firm offer and if agreed send a contract digitally. I know many people try and get a signature on the spot but I personally find this process works for me.

Greg Clark · Answer

@Stephen Keighery Ok, that makes sense. I'm used to more traditional sales where you never want to leave (or have the customer leave) without closing, but that's usually for simple purchases of goods. I'd hate to get a verbal agreement with them just to have them change their mind later when I send over an actual offer. But I guess if that happens, maybe they didn't feel like it was a good deal to begin with.

Greg Clark · Answer

That's good advice. I'll probably do that. Is it common practice to bring a contract when you visit the property the first time and try to get the seller to sign it then and there, or is it more common to simply discuss terms and have an attorney send an offer contract to them later? I want to be prepared so I don't sound like such a rookie. 😅