Just came back from interviewing a real estate attorney. He had never heard of assigning contracts or doing double closings. As I recited back to him information from this forum and other information I've read in regards to the process, he understood what I wanted to do and even offered to review/revise my buyer/seller contracts for free.
During our two hour conversation at his office he mentioned that his wife is a rehabber/investor and they have brought lots of properties in the last 40yrs. He got a HUD1 statement out and walked me through what & where everything would show based on this type of transaction.
$1,000 is what he would charge to pull title (done in house) and do all buyer & seller paperwork...all payable at closing. If the deal doesn't close....he doesn't charge for any upfront title work etc. He's comfortable with doing a double close if I need to initially "hide" my proceeds at closing.
The one thing that he did ask is how I would handle property taxes, water & sewer in the contract. Most contracts I've seen only have "buyer to pay all closing costs, minus any unpaid taxes, liens or mortgages". So my question is, how do you all address property tax proration or credits for water and sewer payments in your contracts?
The one thing he was sort of hesitant on is when I brought up recording my contract with the seller ($53), in the land records to protect my interests during the period of the contract. He thought it was unnecessary due to the short length of time of the contract. Any thoughts on this?
He did mention a possible alternative to the recording of contract, basically having the end buyer/investor sign something similiar to a non-compete with a penalty of whatever my assignment fee is to prevent the end buyer/investor from trying to go around me after I gave out the property address etc. Not sure how this method could be enforced, I'd rather cloud title (ounce of prevention) than pursue through the courts (pound of cure).
Well that's my update for today.
P.S. Bandit signs are here and will go up tomorrow night. All calls are going to my cellphone...with the new 69.99 unlimited plans...this seems to be my most cost effective option at the moment.