Help with wholesaling paperwork

[Dave Knott]

Hey BP I am beginning my journey into wholesaling and have a few houses that I want to put under contract, but I need some advice and I have a few questions before I do so. 1. For these wholesale deals the location will be Louisville Kentucky. Can someone suggest a great purchase agreement to use that is worded correctly and covers me in the event that I cannot find a buyer? 2. If I decide to wholesale in another area of the state or even Indiana, will I be able to use this same agreement? or does is depend on the state? 3. I have also heard there is another part of the agreement that makes sure another buyer cannot come in and backdoor your sale from you once under contract? Addendum I think? Any help is appreciated and as always any more advice on top of it is welcome. thanks!

[Jose Flores]

Hey @Dave Knott congratulations!!  If you have a few houses to put under contract you have accomplished the hardest part in this business, which is finding deals.  Now to answer your questions I would recommend that you find a real estate agent in the area you are wholesaling and ask for an electronic copy of the contract they use.  Why?  Because 85% of all the real estate tractions in that area are being completed with that contract.  All attorneys involved will be familiar with it and all cash buyers will have seen it before.  This will build instant credibility and move the closing faster. Now many of these contracts have an other terms section in the contract and this is were you will put your out clause (i.e. Partner approval: Buyer’s obligation to close this transaction is contingent upon approval by Buyer’s partner of the condition of the property, as well as all terms and conditions of this contract.). As for another buyer coming in the back door I have not seen that type of protection explicitly stated in a contract or addendum.  Hope this helps.