Flip property purchase but deal never went through apparently

Flip property purchase but deal never went through apparently

Member since 2020 · 5 posts · 0 votes

Hi all, i have a unique situation. Fix and flip deal. We bought a property from a seller who later found out his bank couldn't release his property from the portfolio without a big payoff. Long story short, he tries to pay us off but we already started demo, etc....In the end we came to a deal to help his situation with giving him 10k on the backend of sale. I am looking for advice or any template I can use to create this agreement of us agreeing to pay him the 10k once property is sold. thanks

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Investor · Tampa, FL · Member since 2011 · 2k+ posts · 3k+ votes
5y

Did anyone do a title or lien search on the property? How did you close, write the seller a check and start working? Was this a short sale? Sorry I have more questions than answers on this one...

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  • Rental Property Investor · North Palm Beach, FL · Member since 2018 · 2k+ posts · 1k+ votes
    5y

    @Jordan Manning

    I would speak to your real estate attorney and have them draft it. You already started work on a property and have not legally purchased it yet and need to in essence bring the seller on as a partner.

  • Ian WalshBusiness Member
    Lender · Philadelphia, PA · Member since 2016 · 2k+ posts · 1k+ votes
    5y

    Did you buy with title insurance?

  • Member since 2020 · 5 posts · 0 votes
    5y

    @Charles Carillo thank you for feedback!

    @Ian Walsh yes sir

  • Investor · Tampa, FL · Member since 2011 · 2k+ posts · 3k+ votes
    5y

    Did anyone do a title or lien search on the property? How did you close, write the seller a check and start working? Was this a short sale? Sorry I have more questions than answers on this one...

  • Real Estate Professional · West Palm Beach, FL · Member since 2012 · 23k+ posts · 13k+ votes
    5y

    @Jordan Manning You are leaving out “the rest of the story”.....

    Either you the property with free and clear title, or you didn’t. 
    If you did, you don’t have to pay the seller anything else. 
    If you Didn’t, then paying him now/later won’t help. 

    Do tell the real story. 

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