All Forum Posts by: Account Closed

Find a local REIA, go to one if the meetups, and talk to every person there!

You say it is in a newer subdivision, the very first thing you should do is get ahold of the builder or developer(s) that is putting up houses in that neighborhood and see if they want to buy it. Use something like Propstream to see what price they are paying for land. If not, skip trace the owners of the adjacent properties and see if those owners would be interested in buying the lots next to them. 

As a rule of thumb, some people say that land is worth 20% of what the nearby homes are selling for. Results will vary of course. 

All of this will depend on how the contract is worded. But to answer your questions: 

1. Yes, technically there is nothing stopping the seller from backing out of the assignment. However, your contract should include a clause which states the terms of the cancellation and/or requires a non-refundable earnest money deposit from the end buyer up front. 

2. Again, all of this depends on the contract. However, yes, since you have entered a purchase and sale agreement with the seller, you are bound to the terms of that contract. If the contract states that you will close on x date, then you are liable to legal repercussions if you do not perform. Just because the contract is assignable does not mean that you are off the hook if you are unable to assign it.

The best way to protect yourself is to give yourself as long of an inspection period as possible. Also, make it easy for you to cancel if needed, and make it as difficult as possible for your end buyer to cancel. Also, at the end of the day, the best practice is to know and trust everyone you are doing business with. Have an end buyer already established before you get any contracts signed. Do not just enter into an agreement with the seller and hope that you can assign it. 

Technically yes they could. You can file a memorandum with the title company which will cloud the title and prevent anyone else from being able to close on it.

This is a problem I am running into as well and can't seem to find a clear answer. I have heard some say that realtor contracts are assignable, and others say that it varies by state. I don't see how I am able to do a dual agency agreement with an agent without using transactional funding/hard money. 

 Would like to know this as well!

Hello, I have experience working with title companies and have a pretty good understanding of the closing process. However I am moving to North Carolina soon, to my knowledge that is one of the states where attorneys handle the closing. To someone who has done both, is the process much different? Should I be researching closing attorneys and using their preferred title company, or is it the other way around? I know many people in NC are very successful so I don't imagine that it's an issue. Any insight is greatly appreciated!

 Thanks for the reply! I am looking for a title company that works with investors and does assignments of contract. Preferably small and locally-owned instead rather than the larger corporate branches. Thank you!

Hi! Does anyone know if any investor-friendly title companies in San Diego, preferably north county? I would greatly appreciate any suggestions!

Hi! Does anyone know if any investor-friendly title companies in San Diego, preferably north county? I would greatly appreciate any suggestions!