Wholesaling Contract

[Ross Hoffmann]

Are there examples of wholesaling contracts on BP? Or better yet, are there wholesaling contracts that can be used when putting a house under contract on the BP website?

[Bill Gulley]

Folks, pay attention please:

RE contracts may be specific to state law, you can't be pulling hocus-pocus contracts off the internet and expect them to be valid all over the country!

As to short and sweet, there is an issue and it's again, a lack of knowledge and some degree of laziness, if you are assigning a purchase contract that contract not only needs to be valid but cover all the bases of a conventional sale contract customarily used in your area. You can make addendums to modify existing covenants, such as buyer default provisions in a standard RE contract. You also need to understand why such things such as insurances loss proceeds are contained in a contract (usually a rather long wordy paragraph) but it can be a very important matter, it wouldn't be there if it were not.

Study the standard contracts used in your area, it doesn't take much time to paraphrase the content of the covenants or agreements when you understand them, that's to the laziness side.

If you use an option, the option should practically mirror a purchase contract with the default provisions removed, as it will be your option to exercise the sale agreement. That way there are no other agreements to be made in the future or to fight over who pays what at settlement, and, just as with loss proceeds, if there is a loss, it may be in your (or the buyer's) best interest to accept insurance proceeds and take the property.

Folks need to get away from guru contracts, learn real estate and basic contract law, it's not hard.

Happy Turkey Day!  :)