Buying a property by doing a deed transfer

[Richard Rodriguez]

Let's say the owner is pressed with a time-sensitive matter because they need money asap.

I am willing to loan them the money but need collateral so I want to have them transfer the deed. They also want me to buy the house from them.

I presume I would then execute a purchase contract with them which will give them collateral that I will buy the house and if I don't, they will pay me what I lent them plus a fee for lending them the money, as well as I, transfer the deed back to them.

1. So to summarize:
2. 1) Seller deeds the property (via a notarized quitclaim deed or warranty deed?)
3. 2) I lend them the money.
4. 3) I execute a purchase contract.

Is this the best way to achieve this?

[Account Closed]

Originally posted by @Richard Rodriguez:

Let's say the owner is pressed with a time-sensitive matter because they need money asap.

I am willing to loan them the money but need collateral so I want to have them transfer the deed. They also want me to buy the house from them.

I presume I would then execute a purchase contract with them which will give them collateral that I will buy the house and if I don't, they will pay me what I lent them plus a fee for lending them the money, as well as I, transfer the deed back to them.

1. So to summarize:
2. 1) Seller deeds the property (via a notarized quitclaim deed or warranty deed?)
3. 2) I lend them the money.
4. 3) I execute a purchase contract.

Is this the best way to achieve this?

No, that isn't the best way.

The best way is to write up a purchase & sale agreement, open title & escrow, send the purchase and sale agreement to escrow. Escrow tells you when to send a check. Once the check clears, then closing happens. At closing you sign your side of the documents and the seller signs his side of the documents. You get the keys.