Got seller under contract...WELL, Almost

7 Replies

 Hey BP Fam, needing some advice. I have a guy here in Memphis that is looking to sell all 4 properties that he currently owns. I've seen the homes and negotiated a price with him that he is willing to sell them at. He's dealing with an attorney that's working his case where they are going through bankruptcy. So the guy is unwilling to go under contract with me  unless he knows for sure the home will be bought by "my partner" because of the contingencies in the contract. He's saying every time he takes a contract or anything to that attorney they are charging him, so he doesn't want to waste money with the attorney unless he knows for sure it will sell. And the contract has contingencies of course to allow myself an out clause to not be stuck with the houses. I can't guarantee the sell and the contingencies are there for a reason, also i don't want to show other investors the properties that I currently don't have under contract and some just vulture me. If I had an end buyer investor that I trusted than yes, but I'm new and haven't built that with anyone yet. This will be my first deal to get done. What do you guys think? Advice

Best I can suggest is give the details to someone like me or Curt or Chris Clothier who won't vulture you and we can give you a buy price so you can do an unconditional contract.

Do you know that these are bonafide deals? There has got to be someone you trust who has more experience than you, that can let you know if these are deals! Can you negotiate to pay the fee that he is being charged for the contract additions? It might be less expensive than putting down earnest money and losing that. If they are deals than they will sell and you may just have to put down the earnest money and then get them sold.

My advice, do not share the deal with anyone you don't know or trust before you get it under contract. You need a controlling interest. Ask me how I know this!!!!!

@Anthony Frank

The issue I see so far is that you are trying to work this deal and the owner thinks " you " are the buyer and thus you have created weasel clauses in the event you dont perform and find a buyer you will simply back out.  Im going to share something with you thats worth about $10,000 but I will give it to you for free.  Here is how you talk to sellers so that #1. you are basically telling them your not the buyer and #2 you are there to help them.  It goes a little something like this; 

 " Mr Seller, I work with a large network of cash buyers located all around the country.  I would like the opportunity to present your properties to them for the next 30 days and see if I can bring a buyer.  If at the end of the 30 days I have not been able to locate a buyer we can either part ways as friends or look at reducing the price and see if I can bring a buyer then " 

So with something like this you should never feel like you are misleading sellers and you are actually there to help them.  

Let me know if you have any questions.  

Good luck!!!

Originally posted by @Curt Davis :

@Anthony Frank

The issue I see so far is that you are trying to work this deal and the owner thinks " you " are the buyer and thus you have created weasel clauses in the event you dont perform and find a buyer you will simply back out.  Im going to share something with you thats worth about $10,000 but I will give it to you for free.  Here is how you talk to sellers so that #1. you are basically telling them your not the buyer and #2 you are there to help them.  It goes a little something like this; 

 " Mr Seller, I work with a large network of cash buyers located all around the country.  I would like the opportunity to present your properties to them for the next 30 days and see if I can bring a buyer.  If at the end of the 30 days I have not been able to locate a buyer we can either part ways as friends or look at reducing the price and see if I can bring a buyer then " 

So with something like this you should never feel like you are misleading sellers and you are actually there to help them.  

Let me know if you have any questions.  

Good luck!!!

Thanks Curt. I try to come across as in letting him know that I would be partnering the deal with another investor and not mislead him. But what you have hear sounds 100 times better.. maybe i didn't relay it well enough or in good words. I try hard not to mislead people and own a good reputation. Thanks!

Originally posted by @Stephen Akindona:

Do you know that these are bonafide deals? There has got to be someone you trust who has more experience than you, that can let you know if these are deals! Can you negotiate to pay the fee that he is being charged for the contract additions? It might be less expensive than putting down earnest money and losing that. If they are deals than they will sell and you may just have to put down the earnest money and then get them sold.

 Thanks

Originally posted by @Dean Letfus :

Best I can suggest is give the details to someone like me or Curt or Chris Clothier who won't vulture you and we can give you a buy price so you can do an unconditional contract.

 Thanks Dean.  I'll contact you. I definitely want to work with trustworthy people and make a situation where we all win 

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