Assignment of Contract

You need to read DG's book 30 Days to RE cash; everything is explained there.

You will need to have a 14 day inspection period on the purchase contract. That is how you get out of a contract if you do not find a buyer.
With the example you gave on a property selling for 749K you need to know that investors don't want to buy a property at retail price. If market value for that property is 749K the investor would want some type of discount befor they would be interested in the property.
You need to find market value of the property, subtract investors profits(usually between 20-30%), subtract rehab cost, subtract your profit and that is the max offer you would make on the property.

These are excellent posts on advice. Don't know how much you have read up on this, but Deans books are such good help.
The 30 day one would be excellent.
Also, a lot of contracts are on the internet, however, some may not apply to your state.
Most Real Estate Attys will give you some free advice on the phone and you can call and ask if they recommend a contract. Then tell them you appreciate any help on that and if you need futher help, you would like to have them to come to. That makes them feel like you aren't just using them.
But if you can sign up for Deans training, it would be worth it.
Also find a REI club near you and go to it for a couple meetings and network. Going to auctions is also good, as you can ask questions and exchange business cards. Most of them are willing to answer a few questions.
Good luck

thanks. i'll read up on it. I just wanted a quick answer

how does the inspection period to get out work? Do I have to actually get a home inspector and get a report to show proof of getting out?

Everybody just wants "a quick answer"! Sorry, if you are going to be successful in this business, it doesn't work that way.

Read this: http://www.deangraziosi.com/real-estate-forums/everything-else/123235/yo...

Karen

I have found some houses in my area and want to know how to get the ball rolling to fine a investor, Any help please

karen, i've been reading books and researching for 6 months so it's not like I am going to the business without knowledge.

I just wanted quick answer on the contingency because I am about to put a house under contract and I want to figure out the contingency that I can use in case I can't find a buyer.

It seems like no books ever mention the little details that I am asking and even when someone answers me, they don't answer what I am looking for. I just a get general answer.

I am asking specific questions, not something general.

Sorry, but I just felt like you just came here to just attack me.

Hi Simon - no, for the inspection contingency you don't have to use an official inspector. You can show up yourself, and simply state afterwards you're executing your inspection contingency to terminate the contract. You'll have to sign paperwork stating that, but that's about it. It's almost a free pass to terminate the contract, and that's why it's so quick. For an REO, it could be a short as 2-3 days. For FSBO, 10-14 days is standard.

Hope that helps!

- Tom

DO YOU KNOW:

COMPS

VALUES

REPAIRS

Buyers criteria

HOW to Structure the deal

Have buyers of ANy kind

Research the property

WHY are they selling

etc

Thanks Tom!!!

You always come at the top on answering. I greatly appreciate it so much!
I thought if I had to back out of a contract and use the inspection contingency, I thought I have to provide some form of proof (reason why I thought I need a professional to provide a report).

you said that FSBO is 10-14 days, but say you are wholesaling and want to assign the contract. Most wholesaler just typically have it under contract for 2 weeks?

Simon - no problem on the answers - you're welcome! Regarding wholesaling, I've never wholesaled personally so I really can't comment on that aspect. I believe wholesalers should already have a list of cash buyers, so if they get a property under contract, they send out the details to all of their cash buyers, and the one who moves on it first gets it. So yes, I would expect it to happen pretty quickly. If the deals aren't happening, then most likely you don't have real cash buyers, or it's not a deal.

From my side of things (because I'm a buyer), most people don't have true deals. They don't know the true appraised value of a property once rehabbed, and they can't accurately estimate rehab costs. That's not to make a general statement of wholesalers, just my personal experience.

In my opinion, with wholesaling there are too many things not under your control. Only if everything happens correctly do you get paid in the end. Then you have to start all over again. I would prefer owning property – true investing, both because I have the property under my control, and the tax benefits. Once places are rehabbed and rented, many months it’s no more than an hour or two to collect the profits.

I have done quite a few deals with owner financing, HUD/REO's, short sales, so that's why I tend to comment on those areas and contracts / contingencies, etc.

- Tom

Tom,

Thanks. I definitely know that holding will be best. I am going for both short and long term.

I am trying to do wholesaling for the upfront money and rentals for the passive income.

I want to speed up the process of owning rental properties so that's why I want to wholesale. I am also looking into Marketing Consultant so I don't have to tie the property down. This is the part I read from Dean's book. Forgot which title it is.

I am actually using his template from the book and adjusting it to fit my needs as I am typing this up.

Btw, I PMed you.