hi there can anyone tell me where can a get a copy of a wholesale contract/ assignment contract that will work in New York City, very grateful for any suggestion thank u guys
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Ned Carey, Crab Properties LLC | http://baltimorerealestateinvestingblog.com/
I assume you are the wholesaler looking to tie up a property and then find an investor/buyer willing to pay a slightly higher price which gives you a few thousand dollars for putting the deal together.
Disclaimer: Although I have personally bought and sold about 60 properties in 3 different states, I've only done 3 wholesale deals (two as a seller and one as the buyer) but I will give you my understanding . . .
Assuming you do not hold a real estate license, you can use just about any contract when buying from a private seller. I have heard of deals written out on a napkin over lunch and submitted to a title company. A great source for contracts in your local area is your nearest REIA. Talk to those investors and they will share with you what works in your area. Whatever contract you use, simply list the buyer as "Your Name or Assigns" or "Buyer to be named at closing." If you do use your state approved standard real estate contract there may be a paragraph about the contract not being assignable unless otherwise noted. Cross it out and get it initialed by all parties or put "N/A" by the paragraph, or to be safe, add an addendum that simply states that the contract may be assigned so long as all other terms are fulfilled. Make sure to get seller's signatures on everything.
If buying from a bank (REO or short sale) it is very difficult to assign a contract. Banks almost always have specific language in the contract that does not allow assigning. I have simply closed the deal with the bank and completed the sale to my buyer a day later. Make sure that there is not a deed restriction specifically stating that the property may not be re-sold within 2 months or 6 months. Those deed restrictions are common in short sales and sometimes you see them in REO contracts.
You will also need a separate contract with the buyer that should require non-refundable earnest money (usually $2-5K) and it should spell out the purchase price, terms and timetable. If you send me a private message I will send you the contract I use with my buyers.
Hope that helps!
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ask your escrow to type up the assignment.
thanks a lot Douglas I don't have a deal yet I'm just trying to put my pieces in place, ur info is very helpful
Thank u Aaron
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