How to Wholesale - Filling out an Assignment of Contract Form Real Estate Investing Training Video

[showem88]

yea...this is a great video! Thank you for posting!

[SOLDHOMES2010]

first transaction before x-mas lol I need money ASAP!! Do you think this is possible? I reccently just added to people to my buyers list and they are eager and ready I just don't have any properties yet and having a hard time finding them because I am a little confused on how to approach them and also who to approach. I work at Lowes Home center so i work with contractors and Investors everday and everybody is looking for a great deal but I can't find properties what should I do?

[SOLDHOMES2010]

Hi Micheal, I just getting into the wholesale business and wanted to know when you approach a seller about a property the assignment contract is saying you will get the proerty sold right? And how should you date it to have enough time to sell it? or should you wait untill you have a buyer? Also do I need to find a title company to process my transaction before I get started? Do I need a small business license before I get started also? I am very excited and ready to get started I want to do my

[Ibuysellinvest]

Hey Bud Great Vid

[WolfSpyder3164]

Hi Michael, great vid, I love all your stuff. Couple questions: How much of a deposit do you take from the buyer? The earnest deposit from the buyer is made out to the title company correct? And do you list the earnest deposit amount on the assignment form? Keep up the great work, love the website too! To anyone looking to get started in real estate: it DOES work, you just have to have the guts to work it! I do HIGHLY recommend finding a mentor, but if you have the guts you don't need to.

[localmentor]

@WolfSpyder3164 - Deposit? I get equal to or greater than my earnest money (min. 2k) then the balance at closing - assignment or LLC sale doc reflects the deposit.

[HJosephD]

Is it necessary to put the compensation amount in the document? Couldn't it be for "value and consideration"?

Joseph

[localmentor]

@HJosephD - this is between you and your buyer, not you and the seller, so YES, you do put the assignment amount on there. I've only once been asked to have the seller sign an assignment form (using my contract that has a VERY WELL CRAFTED assignment provision) and in this case I did use another form (similar) without the dollar amount - so the seller knew I was assigning but didn't know for how much.

[gcp2000]

you don't mention who pays you, the Assignor?  I presume it is the buyer at closing

[swiftresults]

@gcp2000 - buyer pays me - and usually I get a deposit up front and the rest at closing.

[YANAMization]

where do i get an assignment of contract? and what type of paper should i be printed on

[sen1twin]

when assigning your contract to the buyer, do you also give them a copy of the purchase contract between you and the seller?

[localmentor]

@sen1twin yes

[dellario25]

Should I meet with a lawyer before making a move into wholesaling??

[localmentor]

@dellario25 - couldn't hurt - if even to review your contracts/assignment forms, etc.

[walisantana]

Mike I living on San Diego California,I got my purchase and sale agreement and I have a contract that the Escrows company give me,how do I suppouse to use both of them?

[localmentor]

you only need one contract for an assignment - the title company probably gave you a state approved version. You just need an assignment clause in it or you go old school and write "and/or assigns" after the contract buyer.

[sonos327]

@localmentor -- I've been looking up all this information and reading as much as I can to get started in real estate wholesaling. I'm out of work and the unemployment is about to run out! Can you really make money this way ? What is REALLY the first thing you do? See a lawyer to get the right forms or go talk to a home owner and hopefully NOT make an ass of yourself discussing something you don't know anything about? I wanna do this but not sure how....advice?

[danadane561]

@sonos327 The same exact thing is going through my mind. Do I speak to a lawyer 1st, so on and so forth?

[peachtree05]

are these houses that you wholesale vacant? what happens when the owner lives in the home and the buyer sees that you're not the owner? do they try to cut you out of the deal? i heard that buyers will somtimes try and cut the wholesaler out of the deal once they find out the wholesaler isnt really the owner.

[localmentor]

99% are vacant. When I get an occupied one, I tell them (after the contract is signed) I will need to bring one or more of my investor/partners thru to inspect the house.

I have a clause in my contract to show the house, put a sign in the yard and a lockbox on the house - when Occupied, I do not put a sign out there (often they don't neighbors knowing what's going on) and I don't show it when they aren't there for liability issues since they still have personal property in the house.

[localmentor]

Never had someone try to cut me out of a deal. 1st time with a new buyer I have a "coming to Jesus" talk with them and I know how to secure my interest in title before closing.

I deal with buyers I know and trust and have good relations with. many started at CAREI my local REIA. You can ask around to at REIAs and find out who the real deals are and who the scumbags are.

[PeepMoeGame]

so the original seller of the wholesale home never actually sees this contract, right?

[localmentor]

my contract (buy/sell) is worded so NO I do not have to have my seller sign the assignment agreement.

1 time I had a different closer ask me to have my seller sign one, but we had one that had no $ amount on it that the seller signed and one with a $ amount that I signed with the Assignee

[localmentor]

you don't have to show up to the closing, you can have your assignment fee wired to you from the title company.

[Theworldisyourz09]

i couldnt hear what you were saying about "wires me the funds" When are the funds wired in this process? 4:31

[localmentor]

you fill out a purchase and sale agreement with the seller. You use an assignment of contract form to sell your contract to your buyer.

[jeremy1113]

Hi my name is Jeremy im 19 and I actually have a one month plan to get 1 wholesale deal done. my question for this subject is, do you fax this document to the buyer after you found a seller? or is this document for the seller? ive done a lot of research on wholesaling but I have a hard time understanding how to contract these deals.