Assignment Contract w/o a Purchase Price or Defined Fee

[Sean Moen]

Hey Gang,

Searched for an exisiting thread that touched on this buy couldn't find one on the first couple pages of results.  

The quick and dirty question:

What is your opinion on getting an assignment contract signed by a seller without a defined selling price (nor will it list an assignment fee)?

The Background (aka long question):

I have 3 raw land owners that don't fit into my buying criteria to use my own capital.  However, when mentioning an assignment contract instead - risking time instead of money - they said sure.  I know I need to have these properties under contract to (morally for me) talk to the potential buyers I have identified.  However, I'd really like the flexibility to try and maximize both the cash the seller could receive, earn myself a decent fee and expediate the selling process by marketing at an under-retail price.  I feel these can all be accomplished.

The assignment fee could be stated in the assignment contract - stating I will take $$$ for selling the property - but I have no idea what that number could/should/want it to be.  Depending on the property - I'd love to take $1000-$5000 as a fee - but I want the flexibility to define my fee based on what I can get the property sold at.  Example, Retail is $15k, I sell for $10K, I'd like a $2k fee.  If that sell price moves to $12K, I'd like $2500.

Am I asking for a pipe dream here?  Has anyone structured wholesale deals like this?  Guidance, opinions, and "slaps to the face" are all welcomed.  Need some help so I can present a contract to these guys so I can start selling there land.  Thanks -Sean

[Guy Gimenez]

@Sean Moen

Since the price is a material contract term, you would not have an enforceable contract without it.