All Forum Posts by: Justin Fernandez

As far as your EMD from the buyer, that's what keeps them from backing out on you. It should be 20-30% of assignment or 1k,2k,3k, 4k,5k, just depends on your spread. Some ask for all of it upfront, some wait until closing. It has to hurt, or else you have a higher chance of them backing out. The money needs to go hard after their DD period.

Yes, you should have instructions for escrow for Rest of Assignment + EMD to sent to you. Rarely is the EMD given directly to the wholesaler, (Unless you know the buyer or have a relationship) which doesn't allow you to pay for closing fees.

You should speak with a closing company or attorney first, so that way you know the fee structure up front.

This is just general information meant to guide you, not implicit truth. You need to speak with your team (title company, attorney, re agents, brokerage, etc.) first so you know what's suppose to happen and when.  

Try to get a mentor or JV a few deals. That will also give you good structure in how to do it, specific to your situation and specific to your market.

EMD-Earnest Money Deposit

DD- Due Diligence

1) You need a contact before you can assign anything. 

That contract language must allow you to assign by statement or signature. It can not have a not assignable clause. 

2) You will want an assignment contract that is separate from the initial contract. 

-I am not a lawyer

+Not a lawyer/title company

If you just transfer the deed and pay cash for the house, who runs your title check? Prepares docs? Gets it Recorded? What if you give the cash and the seller runs or refuses to transfer?

You can, but I am not an agent yet, nor have I worked with one yet.  Someone else will need to chime in.

Can you be more specific and add more background into your question? I believe that will help you get the answers you're looking for. 

I enjoyed Thomas J Lucier Foreclosure book. Great overview filled with samples and it aligns with being honest to the seller and examples of good and bad investor experiences. 

@Joel Owens, based in GA. 

Comb through the Michael Blank, Ben Leybovich, James Wise, Serge, and a few other serious Multifamily investors. Their podcasts offer a lot of insight to boot! They walk you through a few things and things to think about. From stabilization, turnovers, raising rents, understanding market conditions, wether or not things are common vs not common for you area and what it can support. 

•Disclaimer I slept at a holiday inn last night

What problem do you solve for him by being creative in fianancing the property? I know, but does the owner? Does the owner like you? Are you an accomplished investor known in your area that has multiple examples to use and word of mouth referrals to back that up? How can he trust you and not end up being back in the same place? You're wanting creative financing, but can you cure his mortgage for whatever the amount is? 

In no way am I beating you up, but I just wanted you to think through it and see how you can solve their problem and whether or not they believe you. 

•Disclaimer not a bank professional

But as far as the bank is concerned, the answer is no. You'll need his authoritization to speak on his behalf. 

@james wise can help out. 

Keyword: Stone Mountain, Georgia (GA) Gwinnett County