End Buyer wants to see my contract before anything else?

Question

I have a property under contract that I'm looking to assign. A potential end buyer who I've never worked with or met before says that they want to see the contract.  Should I show them the contract or no?  Is there a reason behind this?

'Ty Taylor · Answer

I recommend getting him to settle on a price first and then tell him how much you have it under contract for, if he is not cool with what you are making then this is someone you don't wanna deal with because you want to deal with repeat buyers which means building relationships.  YOU ARE NOT DOING THIS FOR FREE AND THEY KNOW THIS

Don't be afraid to turn their offer down if they try to low ball you after they know your contract price, IT'S OK

THE ONLY WAY WH WORKS WELL IS with CONTROL

Oh, it needs to be a cash buyer, no convential buyers

JUST MY 2 CENTS BUT THERE'S MORE THAN ONE WAY TO SKIN A CAT

Account Closed · Answer

If the buyer is an investor obtaining commercial financing and has a good relationship with their banker, you can assign a contract to them and get paid at closing. There are many qualifiers here, but it can be done.

Jay Hinrichs · Answer

@Bradley White

Kristine Marie Poe

if your going to flip contracts then you need cash buyers in most instances or transactional funding.. Its a dicey situation.. In my mind when I work with bird dogs I know I will be paying them or they wont bring me deals.

On the flip side when I have flipped plats to DR Horton,, they just wait in the wings and see if I can perform.. If I am flipping a plat to a builder I better have the cash to take it down lest they not close and go around me and buy it from the seller.. Cash is king

Bradley White · Answer

@K.

Kristine Marie Poe undefined

Thanks for all your advice. I really appreciate it!  Just curious, why wouldn't I be able to assign it if my buyer is using a conventional lender?  And if they are using a conventional lender, what adjustments would I need to make to get the deal done?

Bradley White · Answer

Kristine Marie Poe

Yes the buyer knows what the purchase price is ($173,000 OBO), but he doesn't know the contract price. Should I request that they make an offer and meet in person with earnest money before showing the contract?

Keith Agnello · Answer

They do not need to see the contract.

You have an agreement/contract with them on a price and then you move to escrow. Either that works for them or it does not. If it doesnt and you know have a deal then that is their loss and you move on to the next potential buyer. Do not get desperate and make the mistake of being fearful that you will lose the deal. I have in the pass and it cost me. A lot of buyers are sharks and when they smell blood, they attack.

Ceasar Blackman · Answer

As a wholesaler myself i always feel like someone is trying to wait in the wings to see if i cannot preform and just go behind my back. Are you getting that feeling ? I would feel iffy aswell if i didn't get some kind of feeling that they were actually trying to buy it. Have they seen the property? Negotiated a price? I would think if they have not preformed some kind of due diligence before asking to see YOUR contract, i might feel sketchy about their motives behind seeing it.

Just my 2 cents

Terri Lewis · Answer

What Ty says really makes good sense. You wouldn't want to get involved with someone that would not want you to make a profit. That is what business is all about. Being transparent is also a great way to build trust, but at the right time.

Matthew Paul · Answer

Show him the contract , a blank one with all the terms and conditions . OR copy the contract and black out the info he doesnt need to see.

Account Closed · Answer

Most lenders won't lend in a situation where the buyer in the contract is different than the buyer that applied for the loan. Additionally most lenders won't pay the assignment. They only lend on the purchase amount that is in the contract.  With small amounts, some buyers will pay for the assignment with cash outside of escrow.  You'll have to check how other investors in your area are getting assignments paid.

End Buyer wants to see my contract before anything else?

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