All Forum Posts by: Gerrard Townes

@Joseph Cacciapaglia thanks Joe! great info!

@Joseph Cacciapaglia great suggestion! any thoughts on how you would structure this agreement for release of contrctual obligations, if you were in a similar circumstance, of course Im not asking for legal advice just to reiterate. Thanks your thoughts are very much appreciated Joe!

@Brad Bellstedt and @Jerryll Noorden I appreciate you guys' feedback, In response to Jerryl , Ive done several deals, tons and tons over the years, I basically spent a lot of time with this seller and I feel I should get something. I could walk away but he could go through with our contract just as easily. "User satisfaction" doesn't pay the bills. but thanks guys I reall appreciate it, I think a cancelation fee would probably be my option.  Not sure yet.

In a wholesale purchase agreement, I have two important clauses, "Assignability" and "Specific Performance" so no need for me to upload full contract, just keep those two terms in mind. Thanks.

So my contract is set up to where the seller cannot go around me, but he wants to sell to another buyer because he said he has a better offer. Let me ask this to my wholesale veterans, If a seller is trying to move forward with another buyer when we already have a signed contract with me, and I have deposited my EMD. Is it legal in Virginia, for the seller to pay me a "Consultation Fee" or a "Marketing Fee" of say $1,000 for my time, or some other "Fee" for me to remove my contract and allow him to proceed with the sale with the other buyer. I don't want to drag this process out, and this wholesale deal would have made me about $3,000 dollars but if the seller can legally pay me a "fee" for my time I will remove my contract.

I'm not an attorney or a real estate agent, I am a wholesaler.

I believe you can do an LLC assignment, where you are essentially buying in the name of an LLC and selling ownership of the LLC to an end buyer who finishes the purchase of the short sale as a member of the LLC. You would sell the LLC as your assignment fee instead of having a traditional assignment on the HUD-1.

I believe this way the ownership of the LLC changes NOT the purchaser of the short sale which avoids seasoning. Any one know if this method is correct? im not sure I havent done it before. @Minna Reid

Thanks for the feed back everyone, so the listing agent cant be a family member of mine if I am the end buyer, otherwise they would not make any commission, but if this is disclosed they would be able to represent the short sale seller as their listing agent and I would be the end buyer?

Also let me ask this, can the listing agent be a friend of mine that is not related?

Also how do I make sure that if I call a short sale listing agent to list the property for the short sale seller, how do I ensure they don't sell the property to another end buyer besides me?

@Minna Reid @Maryann L.@Brett Goldsmith

My main concern is a seller calling me, I determine it is a short sale and then I set everything up including putting them in contact with an agent and that agent selling the short sale to another buyer instead of me, Im just getting into short sales and I know the process but this is a concern of mine, any thoughts?

I believe you can do an LLC assignment, where you are essentially buying in the name of an LLC and selling ownership of the LLC to an end buyer who finishes the purchase of the short sale as a member of the LLC. You would sell the LLC as your assignment fee instead of having a traditional assignment on the HUD-1.

I believe this way the ownership of the LLC changes NOT the purchaser of the short sale which avoids seasoning. Any one know if this method is correct? im not sure I havent done it before.

Thanks for the feed back everyone, so the listing agent cant be a family member of mine if I am the end buyer, otherwise they would not make any commission, but if this is disclosed they would be able to represent the short sale seller as their listing agent and I would be the end buyer? 

Also let me ask this, can the listing agent be a friend of mine that is not related?

Also how do I make sure that if I call a short sale listing agent to list the property for the short sale seller, how do I ensure they don't sell the property to another end buyer besides me? 

My main concern is a seller calling me, I determine it is a short sale and then I set everything up including putting them in contact with an agent and that agent selling the short sale to another buyer instead of me, Im just getting into short sales and I know the process but this is a concern of mine, any thoughts?

When a seller calls you and you determine the deal is potentially a shortsale, can you have a family member be the listing agent for the seller in a short sale when you're the end buyer? As long as that family member is family with short sale process

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When a seller calls you and you determine the deal is potentially a shortsale, can you have a family member be the listing agent for the seller in a short sale when you're the buyer?