Paying cash for a FSBO to flip. What should I know?

Paying cash for a FSBO to flip. What should I know?

Member since 2022 · 44 posts · 21 votes

We'll be paying cash for a property in the Joplin, MO area for our daughter to live in. She'll help with minor upgrades such as painting, but we'll have contractors handle plumbing, flooring, etc. She may not be there longer than six months, so when renovations are complete and she leaves, we'll sell it.

The question: if we're not financing the property, what paperwork needs to be completed? Title search and transfer, insurance, contract, what else? What do I put in the contract? Is there a template I can use? An attorney to review before completion?

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  • Flipper/Rehabber · Haymarket · Member since 2022 · 76 posts · 70 votes
    3y

    We buy direct from homeowners a lot. We use a purchase and sale agreement...there might be templates on here...not sure. 

    After signing we send to a local title company to handle the transaction closing. Title search, loan payoffs, etc. We go to closing like a normal MLS real estate transaction. It is usually a couple thousand $ total. We budget 1.5% of our purchase price for our side of closing cost on the buy.

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