Noob questions and Contract Request

[Dave Humphrey]

Hello everyone. I am new to real estate investing and have decided to go the route of wholesaling to begin. I have read the posts from the past 4 months trying to get a better idea of what is involved and what the process is (while literally taking notes). I am lucky enough to have a friend who is a serious investor with many connections to send out all the properties that I am able to acquire to all of his friends and co-workers.

From what I have read, many people suggest going to your local REI investment meetings to make some contacts and get into the fray, which is what I intend to do the next time one rolls around. I do have a few questions as to the contract aspect of the process.

1. If you assign your contract as opposed to a double-close, what is the guarantee that you will be paid by the investor? I know you have them sign a contract paying your assignment fee, but when do you get paid by them? Is there a clause stating that you will be paid on that contract at/before closing?

2. What time frames do you all usually put on your contracts until you back out due to lack of interest from investors.

Here's the skinny. I have no money in my pocket right now. My credit is not good. That is why I feel this is the best for me. I started out on the rehab track but my "mentor" made it clear that payments are to be made monthly, which is something that is not feasible for me to do right now. Hence the wholesaling track.

I also think that just being able to see some of the basic contracts that you use would clear up some of the uncertainty on that end. You can email them to [email protected]

I know that I can do this. On the properties that I found for rehabing prior to finding out that it would not work for me, I put together almost book report style proposals for potential investors featuring repair costs, photos, my own blueprints etc.

I want to thank all the experienced investors on the site for the valuable information they are willing to share. I look forward to growing my wealth, securing a future for myself and my new wife with all of your help.

Thanks,
Dave Humphrey

And if anyone is in the Akron/Canton area, I would be happy to buy us lunch one day if time allows for you.