Wholesaling contracts

[Gina Tavizon]

This has always been a mystery to me and I've never found a black and white answer. I did a little wholesaling years ago and used standard real estate contracts.  And in the buyer section, I would put my name plus "and/or assigns".  I hear people do this all the time and then I've heard it's illegal.  I'm ready to wholesale again but I really don't know how I should be going about this.  I really want to find the right way(s) to wholesale.  Any feedback would be so appreciated.

[Brian Cam]

Hey Gina,

No it is not illegal.  You can use a vanilla purchase and sale agreement, the same that agents in your state use.  However, make sure you have some out clauses (contingent on partner financing, contingent on inspection, etc).  Also, make sure it has the "and/or assigns" verbage.

The best thing you can do is draft something up and show it to an attorney in your state.  For my first deal, the attorney reviewed and modified it for me.  Now I just use the same contract on every deal.

Hope this helps, and feel free to reach out with any other questions