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Updated over 15 years ago,

User Stats

8
Posts
0
Votes
Christopher Johanski
  • Real Estate Consultant
  • Mpls, MN
0
Votes |
8
Posts

FLIP FHA-REVERSE ASSIGNMENT???

Christopher Johanski
  • Real Estate Consultant
  • Mpls, MN
Posted

A real estate attorney who is a type of person who is "solution" oriented and thinks out of the box, told me that I could do a "reverse assignment" to alleviate the seasoning issue when flipping to an FHA end buyer. Here's how it works, and I'd like to hear anyone's input on the possiblity of the end buyers FHA lender doing this also. The investor offers to buy property for "X" dollars, lets say 200k. The appraised value is 250k. The Investor then finds a end buyer to purchase for 240k. The Investor does one of 2 options: 1. Backs out of transaction, due to financing or inspection addendum., or 2. offer's to "assign" his buy contract from the end buyer to the seller where the seller would get 2,000 dollars more but pay the Investor a facilitation/finders fee (whatever name you want to put to it for fee) and allow the seller to close directly with the end buyer. Reverse assignment. So the seller receives 240k but pays the investor $38k facilitation fee and received 2k more in the end. Would a FHA lender allow this? Also, If limits are put on real estate commissions, and seller carry backs, or seller paid closing costs, what "fees" are allowable under FHA guidelines that allow larger fees or fee's over 3 or 6%? Of course this is assuming the property has a legitimate real appraisal that is approved by the lender. Thank you.
cj

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