All Forum Posts by: Dimas Garcia

Mr. Puckett,

I have most assuredly read that post already and have taken it to heart. I do not want to label my company as amateur or faulty in any way because I haven't run the numbers correctly or performed my own due diligence in order to get my end client a great deal. I've been doing the work of a wholesaler for a few months now as a rehabber looking for deals. While I've found some great deals, the one private investor that we've been able to acquire hasn't been happy with them. He's only approved one deal and the bank did not accept our offer three times. So, we realized that hey, maybe we should try and get these props under contract and send them off to other investors who have the cash to get them done and make some cash ourselves in the process.

Also, you just blew my mind. I thought that if one were to use a full purchase and sale contract that the only way to close is through a double-closing. I think I truly grasp the assignment of the contract now. Basically, get the seller to sign the amended sale contract, assign it to buyer, send to title company. No need for transactional funding. I know this stuff may sound so elementary to you veterans that I sound like a fool, but I'm one of those people that really needs to look at something at all angles before I attack. I don't like surprises when I could have prevented them by being prepared.

Jerry Puckett,

Wow! That's awesome, I really do appreciate it! So after I've gotten the sale and purchase agreement with the seller, then I use this form (or something like it for my state) to assign the sale and purchase contract to my investor buyer? If that's the case, then it sounds like the contracts and the assignments are the easy part. The hard part being the actual business and running around of wholesaling!

Will Barnard,

Thanks for the succinct reply! I think that's the route I will go as it seems to make the most sense.

Jeff Z, thanks for the link, I'll check it out!

Interesting point, James. So did you take a regular purchase and sale contract and just cut parts out and added others in? Also, do you find that your sellers are less willing to sign a sale and purchase contract over an option contract? Thanks again

Antoine, thanks for the quick reply! Do you use the option contract exclusively or do you also use a sale and purchase contract with a double closing? Also, can I get a sample of your option contract? Thanks!

I'm reaching out for help from the BP family because I have what's commonly referred to as 'analysis paralysis', a particularly debilitating case. I can't get started because while I have the general knowledge and theory down, I'm not comfortable with the details of the actual contracts and I wouldn't want to meet with a seller and 'hem' and 'haw' my way through a pitch.

My question has to do with two ways of getting a home under contract to wholesale. One of the things that has me confused is the seemingly interchangeable terms that are used for an option to purchase, purchase options, purchase and sale agreement, etc. I've read many times about this so-called 'one page' option to purchase, but I can't find a template or copy of it anywhere. Just so that I can make sure that I understand it correctly, this is a one or two page agreement between myself and the seller that states I have an agreed upon amount of time to control the property in order to sell this option to a cash real estate investor, yes? Also, here is where I'd state something to the effect of there being a $100 (or any other sum) good faith deposit. Is this correct? Also, how do I go about conducting this transaction with an investor? With an assignment, you would use a title company and perform a double closing, but I'm not sure about the option.

The assignment of contract is just that. An actual purchase contract that is used in everyday real estate transactions with the added clause of allowing the contract to be assigned and adding the 'and/or assign' to the buyer signature block, yes?

I've done a lot of researching here, and everything I've read is extremely valuable, but it's difficult to convince myself that I've totally grasped the situation without getting any feedback. Thanks for your help everyone!

Dimas

Jon,

That wasn't a solicitation. I was sincerely offering to help the guy, lol. When I saw his post I wasn't sure if HE was the real deal or not, which is why I answered that way. Anyway, here in Jacksonville the RE market hit rock bottom and you can buy residential foreclosures for around 60k (quad-plex) with the rentals at around $750 per.

Marcus,

You should look into the Jacksonville, FL market. Close to the beach and it's perfect for rentals right now. Thousands upon thousands of foreclosures and short sales and the rental market is incredibly solid right now. [SOLICITATION REMOVED]

I'm with Realtyman

Craigslist is huge. Nothing beats just driving around though. Not everyone is computer savvy and think about who would have their homes FSBO. I'm thinking a lot of older couples who already own their home free and clear. Beat the pavement and get in the house!

J Scott,

Wouldn't you say that a $15k profit margin is too low and may leave you even if the rehab ends up costing more than estimated? It seems like a much more risky way of going about it.I'm a complete novice, so I'm not pretending to know the real deal, just asking.