Many books I've read talk about adding or finding contract with the words "and/ or assigns" in them in order to make your wholesale deal work. Is this really the best way to go about it? I feel that this will immediately make the seller distrust you or question your intentions. What I've heard from a seasoned investor is to simply put "This contract is assignable." somewhere in the contract. In Real Estate everything is assignable, but specifically putting it into the contract covers you in case the deal goes sour. I'm wondering what everyone's thoughts are on this? I have no intention to trick any sellers or to be dishonest with them. I will be completely upfront and explain that I'm an investor and explain the possible assignment part of the contract if they are curious. I just want to go about it in a way that doesn't cause suspicion or make the seller distrust me.
Thanks for your time!
You can put the and it assigns after your name or LLC or you can put it in your contingency section it's totally up to you. Just make sure it is there and if anyone ever asks me what that is for I tell them that I am an investor looking to make a profit on this weather it be buy and hold for rental, fix and flip the property, or wholesale the deal(assign) to another investor.
Not necessary, as I. Most states the contract is automatically assignable unless it specifically forbids it. The "or assigns" just increases the chances of your offer hitting the trash.
@Wayne Brooks would you be willing to show me your purchase & sale agreement ? I am having some issues with this as well.
@Brian Bracey I typically use the realtor contract, available by googling. But as stated, any contract that doe not specifically prohibit assignment, is assignable. The original buyer is still bound to the seller though, as per the contract terms.
@Patrick L. posted the correct copy. But be aware many people just ignore this section, don't check any of the boxes, so it's like it doesn't exist.
I use and/or assigns on every offer and have never had a problem with it yet. I usually make offers in my personal name, then buy under a corporation name.
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