OfflineWhen we find the deal we want to assign to our buyers, how do we protect ourselves? I know the best thing to do is put it in under contract. There is 14-17 day grace period. But what if we've never done that before and feel uncertain. What about a profit sharing contract or non-circumvent agreement or something like that? I'm not working with an agent. Any thoughts on the best way to go for the first time? I like the idea of sending the address and details to my buyer first, so they can check it out for themselves, run the comps etc. I think if people know what they're getting themselves into beforehand it's more appealing. What have you experienced that works best? Thanks.
Greg
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You could use a 60 day option.
Im new and also from Canada .
Hope you get a traffic response .
My only concern is if it fails to be bought they will log it and research it in 90 to 120 days and buy it out from you . Kenneth
Hi Greg your on the right track go for it, Jim
jbischoff
read this:
http://www.deangraziosi.com/node/3330
ADD a 2yr - 5yr time frame and you're good to go
Mike
https://tvallc.isrefer.com/go/RehabLite/renvestr/ Free tools
Thanks for the information. That was helpful. Is there another contract that specifically states the addresses of of the properties and place for both parties signatures?
Here is what I would do.
1. Get the property under contract with a 14 day inspection period.
2. Market the property to my buyers. You have total control of the property. No need for NSNC that most likely is meaningless anyway.
3. Put the property under contract with your buyer. Your contract should have a non-refundable earnest money requirement and be non-assignable. This locks in your buyer. He will be a real buyer at this point.
4.Close the deal and get your check.
5. If you can't find a buyer with in 14 days, terminate the contract.
When making the offer you will need to know how you will close the deal. Double close? Assign? LLC transfer?
Have you read Dean's book, 30 Days to Real Estate Cash?? Do so if you have not.
Hope this helps,
Michael
Knowledge is power, but execution trumps knowledge. Tony Robbins
http://www.mdhomeacquisitions.com Seller site
http://www.mdhomeacquisitionsbargainhouses.com Buyer site
http://www.mdhomeacquisitionshousehunter.com Bird Dog Site
http://www.mdlodeals.com Tenant/Buyer site
Question about Partner Agreement?
I am to partner with other/s and would you share a simple partner agreement that is viable in all states? Please?
Have found one online but wanted a recommendation here if possible?
I didn't find a partner agreement on Dean's website as in two or more working together be it bird dogging or flipping together.
For example you and I agree to Bird dog and or flip but we would be required to invest say $1000. each?
Some cash buyers require an up-front investment even for a bird dog. I am finding that these cash buyers pay out for finding houses is Much higher! The cash buyers do return the $1000. investment funds to the investor/s (Bird dog), along with a commission of $3000. to $6,000.
Thank you!
I know that you are trying to find a different way to do it but honestly the best way to do this would be to get in under contract.
It can be a little scary to get it under contract but with our help you should be just fine.
If we have it under contract and no one can take it from you. When it is under contract you will have a 14 day inspection period so if something goes wrong we can get out of the contract.
At least this way they wont steal the deal.
What you can also do is give them info about the property but not enough that they can take it.
just give them all the numbers and facts but dont tell them the address or MLS numbers and things like that.
If they are liking it we can make sure to get it under contract.
If you are sending information to your investor first, you a pursuing bird dogging the deal to them.
There is a principal which is: dollars follow value created for others.
if you are simply just providing info, address and that's basically it, realize there isn't THAT much value there so you generally make $500-1k if your investor closes on it.
But if you are doing the leg work on it, pulling up comps, details on rehab, negotiating it, getting it under contract & then assigning it. Notice there IS lots more value created there thus more profit for you.
Bird dogging is providing information & yes before you freely provide info to your investors, get a non-circumvent agreement signed between you two.
If you are assigning a contract, you took that extra step of getting it locked up and its set to close ready to go & also should of done the research.
Good common sense advice from so many people. Thank you to all those who participated in this post. It has been very informative and helpful. I better understand what I need to do. I've got to bite the bullet and place the property under contract. There's a 14-17 day grace period. This will protect me from someone stealing the deal.Eric suggested I can give just the basic numbers to see if my buyers' are interested and omit the address and MLS #. This was helpful. Thank you.