Been looking at YouTube videos on wholesaling houses and I’ve learned that there are 3 contracts that are involved. How do I get these contracts and most importantly what clauses should be in it to guarantee that I will not be “Snaked” by Seller or buyer.

Interesting comment on getting snaked. What does that mean?

@Eugene Robinson You should talk to an attorney in your area to make sure you understand the laws regarding wholesaling in your state and to get the correct purchase and assignment contract. You only need 2 for a wholesale (assignment) deal not 3. 

@Greg Dickerson

Purchase and sell agreement

Assignment agreement

Memorandum of contract (optional) but sometimes very necessary

This was something that I saw on a YouTube video by a gentleman named Antonio Edwards.

@John Thedford

I saw on a video on YouTube that if you don’t

Have a memorandum of contract the buyer could

Potentially go behind your back and try to persuade the

Original seller to agree to a lower contract of sale.

Don’t know how true it is but I’m researching these contracts.

Originally posted by @Eugene Robinson :

@Greg Dickerson

Purchase and sell agreement

Assignment agreement

Memorandum of contract (optional) but sometimes very necessary

This was something that I saw on a YouTube video by a gentleman named Antonio Edwards.

You do not use a memorandum of contract. This is a non binding agreement of terms like an LOI. All you need is the PSA. Once that is signed your all set. The seller has to sell to you. That being said there's nothing stopping a buyer from waiting you out and then going to the seller after your contract expires so you need to make sure you are working with legitimate cash buyers that are ready to close.

@Greg Dickerson thanks for the feedback. You are right it is not legally binding. I’m so excited about learning wholesaling taking it one step at a time to gather good information.

Originally posted by @Eugene Robinson :

@John Thedford

I saw on a video on YouTube that if you don’t

Have a memorandum of contract the buyer could

Potentially go behind your back and try to persuade the

Original seller to agree to a lower contract of sale.

Don’t know how true it is but I’m researching these contracts.

That is BAD info unless you intend to close. There are some pros that would argue even if you intend to close do not cloud title. I have only recorded one contract (the actual contract not a memorandum) because in that instance I advanced money to the seller. Don't believe everything on youtube OR BP without verifying.