Hey my name is Dan and I am getting going wholesaling. Learning and taking action. My question is, once I have a home under contract, I then take the contract and emd to title company, they prepare everything, THEN do I sign the buyer escrow instructions/papers, or do I leave it for my end buyer once one of them decides to take it?
Rental Property Investor · Northern, CA · Member since 2012 · 5k+ posts · 5k+ votes
8y
When you have a home under contract with a seller and take the purchase agreement to the title company, you're considered the buyer at that point.
If you later assign your rights to purchase the property to another buyer ("end buyer"), and deliver the executed assignment agreement to the title company, then at that point the end buyer steps in as the buyer and will start signing paperwork.
Raleigh, NC · Member since 2011 · 721 posts · 343 votes
8y
I'm assuming that after you get the house under contract that you have assigned your interest to an investor/buyer.
After that usually the title company will prepare everything and set a closing date. At the closing is when all of the final documents are signed. There are some variations of this. However, this is fairly common.
Rental Property Investor · Northern, CA · Member since 2012 · 5k+ posts · 5k+ votes
8y
When you have a home under contract with a seller and take the purchase agreement to the title company, you're considered the buyer at that point.
If you later assign your rights to purchase the property to another buyer ("end buyer"), and deliver the executed assignment agreement to the title company, then at that point the end buyer steps in as the buyer and will start signing paperwork.
Real Estate Broker · Indianapolis, IN · Member since 2015 · 112 posts · 64 votes
8y
A follow up question for @Roland Paicely and @Kyle J., say you get a seller to agree to a deal, get an assignment contract agreed upon and signed by you and the seller, at that point do you take those documents to the title company? Or do you start marketing the home and find an end buyer before going to the title company? I'm guessing you only go to the title company once you have assigned the contract to the end buyer but wasn't sure.
Raleigh, NC · Member since 2011 · 721 posts · 343 votes
8y
I'd say that when you have the sellers signature and the investors signature you go to the title company. However, it also makes sense to do it simultaneously. Going to the title company is not much more than dropping off paperwork and maybe answering a few questions. When you have the investors and the sellers signature, start your marketing. At the same time make plans to send the paperwork to your title company.
A follow up question for @Roland Paicely and @Kyle J., say you get a seller to agree to a deal, get an assignment contract agreed upon and signed by you and the seller, at that point do you take those documents to the title company? Or do you start marketing the home and find an end buyer before going to the title company? I'm guessing you only go to the title company once you have assigned the contract to the end buyer but wasn't sure.
You and the seller don't sign the assignment contract because you're not assigning anything at that point. You'd sign a purchase contract with the seller. If you later find an end buyer and agree to assign the purchase contract to that person, then you'd sign an assignment contract with that person.
Investor · Baltimore, MD · Member since 2008 · 17k+ posts · 13k+ votes
8y
@Daniel Cone I see this is your first post so welcome to BP
If you are going to buy the property then immediately sell to another buyer then you sign the closing escrow documents. Then yo using a second set to them sell to your end buyer.
If you assign your purchase contract to another buyer, the end buyer signs the closing escrow documents.