Assigment and finder fee.

quitters never win and winners never quits. Start doing so you can be what you want to be.
"for I know the plan I have for you declare the lord. Plans to prosper you and not to harm you. plans to give you HOPE and a Future" Jeremiah 29:11

I'm not sure what that last comment is about on quitters never win, and winners never quit (don't think you are quitting here) - but I'm a newbie to this as well, and looking to do assignments myself.

From what I've learned, you basically lock the deal up on Contract for say $55k, then turn around and send the info to your Buyers list for $65k (or whatever you feel would be a good price, making some profit in the deal and leaving plenty of room for your buyer to make a sizable profit as well.) Then when the deal goes down, you "assign" the contract over to your buyer for that profit and you get a check for the difference at closing.

Correct me if I'm wrong fellow DG'ers! But hope this helps you

Renae

Ann and Paul
Welcome to the DG Family. You've made a great choice in joining the Success Academy. The coaches who answer the Advisory Line will walk you through any process you are trying to complete. Call them a lot! A lot! Ask them your questions. This is not meant to discourage you from posting here, but you are paying for the expertise at the SA, so use it! They will be able to tailor the answer to exactly what you need to know. Also, you should get an online course from the SA specifically on Assignments, and many other topics. If you haven't gotten it, ask for it. If you have gotten it, take the course.
Happy investing!

Welcome to the DG family!

Having buyers is GREAT, but only half the equation. FIND THE DEALS!

Now that's out of the way, in answer to your question, it depends on what type of properties you present that determine whether you can "legally" or be "allowed" to receive an assignment fee.

REOs and Foreclosures have stringent rules regarding "assignments". Some States DO NOT ALLOW assignments. Consult a real estate attorney (see if you can get a free consultation with the hopes of someday hiring them).

Once you know it's OK to receive an assignment fee, you should add your assigment fee to your offer to your buyer. Remember, when you made the orignal offer to the seller, you should have included all rehab costs, closing costs, and your fee to the asking price. All this should be 70% of the FMV or better to entice your buyers to want the deal. Leave yourself plenty of room to make a few thousand dollars profit and still have enough equity to pass along to your buyers.

I hope this helped. The DG SA coaches should be able to explain it better and help you through the process step-by-step.

John

These are some great comments. You'll find literally everything you could every want to know about assignments in this site. Be Prepared to tell the buyer what you are charging up front and require them to pay you on the deal as soon as they take over your spot on the contract. Assignments are great but banks won't allow it and some states won't either. If you cannot do an assignment deal, do a double close instead.

Wish You Well!