All Forum Posts by: Michael Quarles

Good to meet you.  

Great question.  Apartments.com has a list of the top 100 markets.  Grab that.  

Go to trulia and run median rent and SFR costs based on the 100.

Then determine which areas fit cost:rent using your accepted finance model 

Then run an algorithm on those areas to determine viability.  

This should tell you everything you need to jump.  

Happy hunting. 

Fix n flips are typically dealer status income not capital gain.  

If memory servers me the key word is intent. Intent determines the difference.  

As mentioned residency 2:5 goes a long way in helping assuming 250/500 or less 

Btw the 500 consult fee you would pay a CPA is work every penny.  

Stamps are almost like currency.  The reason for forever stamps is because the cost doesn’t increase.  

You can also use what is classified as a “Standard” stamp and as mention a machine presort stamp.  Both require a postal permit so the saving is gobbled up fast.  Only worth it on large mailings. 

Suggestion: reach out to anyone marketing a unit for rent on the web, sign or newspaper.  Hard to find however you can call them since they supply their number.  

You can also begin making relationships with property management companies. They have a mental list of hard to collect rent addresses and they may help connect you and the owner. 

Although if a good property they probably would grab it themself. 

I've also found hard money lenders a great resource for lists of distressed owners of units. Nice thing about HML is they are easy to convert into a lender.

Interesting question.

It really depends on what you want the site to do... If you just need the "Im a professional: see my website" build it on WordPress. However, if you want organic placement on google and Bing than I would go with Carrot. However, it might be wise for you to do a little digging.

Set your Google Geo to the area that you are investing in and run a keyword search using "Buy my house" once Google gives you the results log the top 10 non sponsored sites listed.

Scroll to the bottom of each and determine if any and how many are carrot sites. That may help answer your question.

If you went to semrush and paid a few dollars using their "Local" product that may get you what you are after.

You could have someone on upwork build you a site, it will run 1500 and then hire someone for SEO which will run at the very minimum 200 a week for the 26 weeks needed to start gaining traction.

This form takes about 6-8 hours however worth the time.   Word Doc  Excel Doc 

Think about a couple facts.

1. The most recent reporting period, February 23, 2021, a total of 2.7 million homeowners remain in active forbearance. That represents 5.1% of all mortgages.
2. 
   About 160,000 of these forbearance plans are set to expire at the end of this month.

Now think about this.

What are foreclosures going to look like once the foreclosure moratorium and forbearance programs come to end?

Certainly not all homes are going to go into a stage of foreclosure, however some are, and some are going to NEED to sell prior to reaching this status. 

The majority are 

• Homeowners who have owned for 3 years or longer
• Have a home value of 50,000 or more
• And who have recently fallen below the Sub-Prime borrowing status.
  
• 
  I alway new 30-69-90s were great however this is beyond. 
  

buying strategies are going to change. Fast. 

Welcome to the best real estate site on the interweb. 

How much money depends on your model. 

Most all of us can buy a property without money paid to the seller however it’s virtually impossible to buy with funds to close and resell rehab or rent. 

Marketing tends to run 10% of profit. 
purchase closing is roughly 3% of price. 
then there’s the costs of having a business.  

I started with ZERO. however as long as you’re not eating on the money 20k seems reasonable. 

Certainly don’t quit the JOB until you replace it 2 fold 

Seller financing is somewhat of an easy approach.  

Especially if it’s an existing revenue stream for the owner.  

If you need an agreement which covers this strategy here is mine.  

PURCHASE AND SALES AGREEMENT

DATED: ________________

PARTIES: _____________________________________, as Seller, and ____________________________________, asBuyer, whose mailing address is _______________________________________ and telephone number is _______________________. Buyer and Seller which terms may be singular or plural and will include the heirs, successors, personal representatives and assigns, hereby agree that the Seller shall sell, and Buyer shall buy, the following legally described Property.

I. THE PROPERTY DESCRIBED AS:_________________________________________________________ (Street address)

City of ___________________________ State of ____________________ County of _______________

Assessor’s Parcel Number________________________________:

II. FINANCING/TERMS/PURCHASE PRICE:

The Purchase Price Offered is:​$_______________.00.

III. APPRAISAL CONTINGENCY: This Agreement is contingent upon a written appraisal of the Property by a licensed or certified appraiser. The Buyer will order and pay for an appraisal on the property. If the appraised value is less than $__________ which is the amount quoted by The Seller as to what the house is Worth in its As Is Condition in Today’s Market, After Repair Value, the Buyer may, within three (3) calendar days of Buyer's receipt of the appraisal, at Buyer's sole option, declare this agreement null and void. Buyer is entitled to a return of all deposits, if any, less the appraisal fee and any other escrow expenses or fees chargeable to the Buyer. Thereafter, neither the Buyer, the Seller nor any brokers shall have any further rights, obligations, or liabilities under this contract.

Deposit(s) to be held in escrow by Company of Buyer’s choice.Deposit to be placed into escrow prior to the closing of escrow in the amount of:​ $ _______________. 00.

Balance to close, (U.S. Cash, certified or cashier's check) not including Buyer’s closing costs and subject to adjustments and prorations Approximate Exact:​ $_______________.00.

If checked All Cash Purchase.

If checked Subject to Existing Mortgages/Loans: (See paragraph XVIII for explanation)

Buyer is buying property Subject to the Existing Mortgage(s)/Loan(s) encumbering the property in the amounts not to exceed:​ $______________. 00.

If the existing balances at the time of closing are less than the amounts stated above, purchase price will be reduced by the difference. If balances are higher then shown, then Seller’s proceeds will be reduced accordingly.

If checked Seller Financing and Terms:

Seller shall finance $_______________. 00, Evidenced by a negotiable Promissory Note of Borrower, secured by a validpurchase money First Second Third, Mortgage or Deed of Trust on the Property and delivered by the Buyer to the Seller dated the date of closing bearing an annual interest rate of __________ percent.

Interest to commence on __________ or _____ months following the close of escrow date

Payments of $__________.00 will be due on the _____ day of each month. The first payment shall be due _____ days _____ months following close of escrow and shall continue every _____ month(s) year(s).

Payments to be amortized on the bases of principal only interest only principal and interest only other _______________, over _____ months until paid in full and according the terms of the Promissory Note.

If not paid sooner the balance of principal and any interest then due shall all be due and payable on _______________or __________ months following the close of escrow date.

Additional terms of the Promissory Note are as follows:

i. Borrower will pay a late charge of $15.00 for eachpayment received more than 30 days after it is due.ii. Privilege is reserved of prepaying the unpaid principal of this Promissory Note in full or in part at any time without penalty.iii. This note may be subject to a Civil Code, which provides that the holder of this Promissory Note shall give written notice to the Trustor, or his successor in interest, of prescribed information at least ninety (90) and not more than one hundred fifty (150) days before any balloon payment is due.iv. The holder of this Promissory Note and Mortgage is limited to recovery of the debt evidenced hereby, by foreclosure and sale of the Property affected by the Mortgage securing same. The Borrower shall not be personally liable for any deficiency resulting from any sale and/or foreclosure hereunder.v. Each payment shall be credited first on interest then due and the remainder on principal, and interest shall thereupon cease upon the principal so credited. Should default be made in payment of any installment when due the whole sum of principal and interest shall become immediately due at the option of the holder of this note. Principal and interest payable in lawful money of the United States. If action be instituted on this note I promise to pay such sum as the Court may fix as attorney’s fees. This note is secured by a Deed of Trust to trustee of Seller’s choice.vi. Privilege is reserved that Mortgagor shall have the right of first refusal to buy this Mortgage under the same terms and conditions that Mortgagee herein has agreed to sell this Mortgage. Furthermore, this Mortgage shall not be sold or assigned without the prior written agreement of the Mortgagor.

Additional terms of the Promissory Note if Individually Checked:

€ Privilege is reserved and Borrower may, at any time, substitute for the collateral that is security for this Promissory Note secured by a Deed of Trust. Said collateral shall be of equal or greater value. Value shall be determined by the Borrower. Seller shall execute all documents necessary to substitute collateral upon the request of the Borrower within seven calendar days of request to do so.€ Privilege is reserved and Borrower may skip one monthly payment for each twelve (12) month period. The mortgage shall be extended one month for each skipped payment.€ If this note is prepaid prior to _____ day of_______________, 20_____, then Mortgagor shall receive a discount of _______________ percent (______%) of the remaining balance due.€ The subject Mortgage is fully assumable upon sale, transfer, or conveyance of the Collateral Property.€ The Deed of Trust securing this Promissory Note shall be subordinate to a Subordination Agreement which will result in Mortgagee’s security interest in the Collateral Property becoming subject to and of lower priority than the lien of some other or later Security Instrument. Said Subordination Agreement shall be recorded.

I/We, _______________________________________________________, Seller agrees to this purchase price and term(s) as indicated within item number II of this Purchase and Sales Agreement.

___________________________________​____________________

Seller​Date

IV. CONSIDERATION RECEIPT AND SUFFICIENCY:Seller hereby acknowledges and accepts the amount of consideration as the total consideration for the sale of the property to Buyer. Seller is satisfied as to the amount of consideration and acknowledge the consideration to be a sufficient amount to purchase the aforementioned Property.V. CLOSING DATE: This transaction shall be closed and the Deed and other Closing Papers delivered in __________ days following the date of final acceptance or on _______________,20_____, unless extended by other provisions of this Purchase and Sales Agreement, or by written agreement of the Parties and also at the sole option of the buyer.VI. OCCUPANCY: Exclusive irrevocable possession and occupancy shall be delivered to Buyer, Buyer’s Assignees, or Buyer’s Agents at 5:00 PM on the date this agreement is signed by Seller, on the date of Close of Escrow, on ________________, 20______ or no later than ___________ days after Close of Escrow.

If checked Property shall be vacant at least __________ days prior to Close of Escrow.

If checked Property is intended to be rented or occupied beyond closing, the fact and terms thereof shall be stated herein, and the Tenant(s) shall be disclosed pursuant to Paragraph XXI.

VII. TERMITES: The Buyer may have, including but not limited to, all accessible areas of the main building and any attached structures as well as all detached structures inspected at Buyer's expense by a certified pest control operator to determine whether there is any visible active termite infestation or visible existing damage from termite infestation in the improvements. The Buyer shall pay for the inspection and report for wood destroying pests and organisms, which shall be prepared by a company of Buyer’s choice. The party indicated on section IX of this Agreement is required to pay for all section 1 work detailed on inspection and report. Buyer shall have the option of canceling this Agreement after receipt of report by giving written notice to Seller, or Buyer may elect to proceed with the transaction. Termites shall be deemed to include all wood destroying organisms. VIII. PERSONAL PROPERTY INSPECTION AND REPAIR:Seller warrants that all major appliances, heating, cooling, electrical, plumbing systems, and machinery are in working condition prior to closing. Buyer may, at his expense, have inspections made of said items by licensed persons dealing in the repair and maintenance thereof, and shall report in writing to Seller such items as found not in working condition prior to taking possession thereof, or six days prior to closing, whichever is first. Unless Buyer reports failures within said period, Buyershall be deemed to have waived Seller's warranty as to failures not reported. Valid reported failures shall be corrected at Seller's cost with funds therefore escrowed at closing. Seller agrees to provide access for inspection upon reasonable notice.IX. INSPECTION OF PROPERTY: Buyer shall have until the close of escrow to complete all Buyer investigations of the Property, approve all disclosures, and other applicable information, which Buyer receives from Seller and/or persons hired to inspect property on behalf of Buyer; and approve all maters affecting the Property, including but not limited to, the marketability of the property in order to determine the usability and feasibility of the Property. Buyer may in Buyer’s sole and absolute discretion, give notice of termination of this Agreement at any time prior to the expiration of the inspection period, and upon such termination, all deposits held in escrow shall be returned to Buyer.X. COSTS: 1. Buyer and/or if checked Seller shall pay for Title Insurance as outlined in section XVI.2. Buyer and/or if checked Seller shall pay for escrow fees. 3. Buyer and/or if checked Seller shall pay for county and/or city transfer taxes.4. Buyer and/or if checked Seller shall pay for the Natural Hazard Disclosure.5. Buyer and/or if checked Seller shall pay for termite work as outlined in section VI6. Buyer and/or if checked Seller shall pay for ______________________________________

XI. NON-AGENCY RELATIONSHIP: A principal with Buyer is a Department of Real Estate Licensee. An Agency relationship between Buyer and Seller does not exist. Seller should seek advice from their legal council prior to agreeing to the terms of this Agreement.XII. TIME FOR ACCEPTANCE AND EFFECTIVE DATE:This Offer shall be deemed revoked unless the Offer is signed by Seller indicating an Acceptance and a copy of the Signed Offer is received by the Buyer on or before _____:01 PM, on __________, 20_____. If a copy of the Singed Offer is not received by Buyer on or before the Date and Time stated above, the aforesaid Deposit(s) shall be, at the option of the Buyer, returned to Buyer and this offer shall thereafter be null and void.

The Effective Date of the Agreement shall be the date of Acceptance. Acceptance is defined as the time the offer or final counter offer is accepted in writing by a party and is delivered to and received by the other party.

XIII. FINANCING: If the purchase price or any part thereof is to be financed by a third party loan, this Purchase and Sales Agreement is conditioned upon the Buyer obtaining a firm commitment for said loan within ___________ days from the date hereof, at an interest rate not to exceed __________%; for __________ months; and in the principal amount of $_______________.00. Buyer agrees to make application for, and to use reasonable diligence to obtain said loan. Should Buyer fail to obtain same or to waive Buyer's rights hereunder within said time, Buyer may cancel Agreement and the binder deposit will be return to the Buyer.XIV. ASSIGNABILITY: Buyer may assign this Agreement.XV. RESELL: Seller authorizes the Buyer to enter into a sales agreement to resell the property during this escrow period. Seller is aware that Buyer intends on reselling the property for aHUGE PROFIT. All profits made by Buyer during this transaction relating to the reselling of the property are the sole interest of and solely owned by the Buyer. XVI. TYPEWRITTEN OR HANDWRITTEN PROVISIONS:Typewritten or handwritten provisions inserted herein or attached hereto as Addenda shall control all printed provisions in conflict therewith. XVII. EVIDENCE OF TITLE: Within twenty days from the date of Acceptance, the party as specified in section IX, shall cause a title insurance company mutually acceptable to the Parties to issue and deliver to Buyer an ALTA Form B title commitment accompanied by one copy of all documents affecting the Property, and which constitute exceptions to the Title Commitment. Buyer shall give Seller written notice on or before twenty days from the date of receipt of the Title Commitment, if the condition of title as set forth in such Title Commitment and survey is not satisfactory in Buyer's sole discretion. In the event that the condition of title is not acceptable, Buyer shall state which exceptions to the Title Commitment are unacceptable. Seller shall, at Sellers sole cost and expense promptly undertake and use its best efforts to eliminate or modify all unacceptable matters to the reasonable satisfaction of Buyer. In the event Seller is unable with the exercise of due diligence to satisfy said objections within thirty days after said notice, Buyer may, at Buyers option: (i) extend the time period for Seller to satisfy said objections, (ii) accept title subject to the objections raised by Buyer, without an adjustment in the purchase price in which event said objections shall be deemed to be waived for all purposes, or (iii) rescind this Agreement, whereupon the deposit described herein shall be returned to Buyer and this Agreement shall be of no further force and effect. XVIII. IF CHECKED THE EXISTING MORTGAGES TO BE ASSUMED: Seller shall furnish to Buyer within twenty days from date of acceptance a current statement from all mortgagee(s) setting forth principal balance, method of payment, interest rate and whether the mortgage(s) is in good standing. If a mortgage requires approval of the Buyer by the Mortgagee in order to avoid default, or for assumption by the Buyer of said mortgage, and:1. The Mortgagee does not approve the Buyer, the Buyer may rescind the Agreement, or2. The Mortgagee requires an increase in the interest rate or charges a fee for any reason in excess of $500.00, the Buyer may rescind the Agreement unless Seller elects to pay such increase or excess. Seller and Buyer each shall pay 50% of any such fee. Buyer shall use reasonable diligence to obtain approval. The amount of any escrow deposits held by mortgagee shall be credited to Seller. XIX. IF CHECKED SUBJECT TO/DUE-ON-SALE ACKNOWLEDGEMENT APPLIES:

Buyer have entered into a certain Purchase and Sales Agreement date herewith, the parties fully understand, acknowledge and agree as follows:

1. Seller and Buyer are fully aware that the Mortgage(s)/Deeds of Trust securing the property Described in Section I contain(s) provisions prohibiting the transfer of any interest in the property without satisfying the principal balance remaining on the underlying Loan(s) and/or obtaining the Lender’s prior written consent (i.e., a “Due-on-Sale” Clause), and that this transaction may violate said Mortgage(s). 2. Seller specifically understands that the Loan Payment(s) will be paid on a monthly basis by Buyer, and that the Loan(s) will NOT be assumed or paid off completely at Closing, and that the Loan(s) and Loan Payments will remain in Seller’s name and may continue to appear on Seller’s credit report. 3. Seller and Buyer execute this disclosure form after having had the opportunity to seek legal counsel as to the legal and financial implications of the Due-on-Sale Clause included in the Mortgage(s)/Deed(s) of Trust. The parties agree and understand that if said Due on Sale Clause is enforced by the Holder(s) of said Mortgage(s)/Deed(s) of Trust, the entire balance then due under said Mortgage(s) must be paid in full. In this event, Seller understands that if the Mortgage(s) is/are not paid in full, the Lender can file a Notice of Default on the property and report such to the credit bureaus, affecting the Seller’s Credit Report. Buyer understands that in the event that the underlying debt is not paid in full, the Lender holding the Deed(s) of Trust may foreclose the property, which will extinguish Buyer’s interest in the property. 4. In the event there is an escrow account for taxes, insurance, waste fees, association fees, or any other impounds or escrow, said funds shall be transferred to Buyer without adjustment. The current loan balance and prepayment penalty shall be deducted from sale proceeds and if there is an escrow shortage same shall be charged to Seller at closing. 5. The Borrower/Seller shall indemnify, defend and hold harmless the buyer and all persons or assigns, regardless of responsibility, from all costs, expenses, suits, liabilities, damages, attorney fees and claims of every type, including but not limited to those arising out of injury to any person, or damage to any real or personal property to any person, including the borrower and said financial institution, for; (i) any items resulting from the buyer buying the property, (ii) information furnished by the borrower or (iii) those items relating to the financial information, or (iv) the ability or inability to pay for or continue to support the debt of which the buyer is agreeing to. XX. NOT A LOAN TO SELLER TRANSACTION: Seller acknowledges that the buyer is not lending to the seller any monies and this Purchase and Sales Agreement is an agreement to purchase the aforementioned Property only. All monies shall be given to the seller on the day escrow closes as defined in section II.XXI. INGRESS AND EGRESS: Seller warrants that there is ingress and egress to the Property sufficient for the intended use as described in Paragraph XLIV hereof the title to which is in accordance with Paragraph XVI above. XXII. LEASES: Seller shall, not less than fifteen days prior to closing, furnish to Buyer copies of all written leases and estoppel letters from each Tenant (if any) specifying the nature and duration of said Tenant's occupancy, rental rates and advanced rent and security deposits paid by Tenant. In the event Seller is unable to obtain such letter from each Tenant, the same information shall be furnished by Seller to Buyer within said time period in the form of a Seller's affidavit, and Buyer may thereafter contact Tenants to confirm such information. Seller shall deliver and assign all original leases to Buyer at Closing. XXIII. SECURITY DEPOSITS: Security deposits, if any, shall be paid to the Buyer. All Rents collected shall be prorated and said prorations paid to Buyer.XXIV. LIENS: Seller shall, both as to the Property and Personally being sold hereunder, furnish to Buyer at time of closing an affidavit attesting to the absence, unless otherwise provided for herein, of any financing statements, claims of lien or potential lienors known or reasonably expected to be known to Seller and further attesting that there have been no improvements to the Property for ninety days immediately preceding date of closing. If the property has been improved within said time, Seller shall deliver releases or waivers of all mechanic's liens, executed by general contractors, subcontractors, suppliers, and material men, in addition to Seller's lien affidavit setting forth the names of all such general contractors, subcontractors, suppliers and material men and further reciting that, in fact, all bills for work to the Property which could serve as a basis for a mechanic's lien have been paid or will be paid at closing. XXV. PLACE OF CLOSING: Closing shall be held in the county wherein the Property is located, at the office of the attorney or other closing agent designated by Buyer; provided, however, that if a portion of the purchase price is to be derived from an institutional mortgagee, the requirements of said mortgagee as to time of day, place and procedures for closing, and for disbursement of mortgage process, shall control, anything in this Agreement to the contrary notwithstanding. XXVI. TIME: Time is of the essence of this Agreement. Any reference herein to time periods of less than six days shall in the computation thereof, exclude Saturdays, Sundays and legal holidays, and any time period provided for herein which shall end on a Saturday, Sunday or legal holiday shall extend to 5:00 p.m. of the next business day. XXVII. DOCUMENTS FOR CLOSING: Seller shall furnish Deed, Closing Statement, Mechanic's Lien Affidavit, Assignments of Leases, and any Corrective Instruments that may be required in connection with perfecting the title. Buyer shall furnish Mortgage, Mortgage Note, Security Agreement, and Financing Statement. XXVIII. PRORATION OF TAXES: Taxes for the year of the closing shall be prorated to the date of closing. If the closing shall occur before the tax rate is fixed for the then current year, the apportionment of taxes shall be upon the basis of the tax rate of the preceding year applied to the latest assessed valuation. Subsequent to the closing, when the tax rate is fixed for the year in which the closing occurs, Seller and Buyer agree to adjust the prorating of taxes and, if necessary, to refund or pay, as the case may be, an amount necessary to effect such adjustments. This provision shall survive closing. XXIX. RISK OF LOSS: If the improvements are damaged by fire or other casualty prior to closing, and the costs of restoring same does not exceed 3% of the assessed valuation of the improvements so damaged, cost of restoration shall be an obligation of the Seller and closing shall proceed pursuant to the terms of the Agreement with costs therefore escrowed at closing. In the event the cost of repair or restoration exceeds 3% of the assessed valuation of the improvements so damaged, Buyer shall have the option of either taking the Property as is, together with either the said 3% or any insurance proceeds payable by virtue of such loss or damage, or of canceling the Agreement and receiving return of deposit(s) made hereunder. XXX. MAINTENANCE: Notwithstanding the provisions between Effective Date and Closing Date, all personal property on the premises and real property, including lawn, shrubbery and pool, if any, shall be maintained by Seller in the condition they existed as of Effective Date, ordinary wear and tear excepted, and Buyer or Buyer's designee will be permitted access for inspection prior to Closing in order to confirm compliance with this standard. XXXI. PROCEEDS OF SALE AND CLOSING PROCEDURE:The Deed shall be recorded upon clearance of funds and evidence of title continued at Buyer's expense, to show title in Buyer, without any encumbrances or change which would render Seller's title unmarketable from the date of the last evidence, and the cash proceeds of sale shall be held in escrow by Seller's attorney or by such other escrow agent as may be mutually agreed upon for a period of not longer than five days from and after closing date. If Seller's title is rendered unmarketable, Buyer shall within said five day period, notify Seller in writing of the defect and Seller shall have thirty days from date of receipt of such notification to cure said defect. In the event Seller fails to timely cure said defect, all monies paid hereunder shall, upon written demand therefore and within five days thereafter, be returned to Buyer and, simultaneously with such repayment, Buyer shall vacate the Property and reconvey same to the Seller by Grant Deed. In the event Buyer fails to make timely demand for refund, he shall take title as is, waiving all rights against Seller as to such intervening defect except as may be available to Buyer by virtue of warranties, if any, contained in Deed.XXXII. ESCROW: Any escrow agent receiving funds is authorized and agrees by acceptance thereof to promptly deposit and to hold same in escrow and to disburse same subject to clearance thereof in accordance with terms and conditions of the Agreement. Failure of clearance of funds shall not excuse performance by the Buyer. XXXIII. ATTORNEY FEES AND COSTS: In connection with any litigation including appellate proceedings arising out of this Agreement, the prevailing party shall be entitled to recover reasonable attorney's fees and costs. XXXIV. DEFAULT BY SELLER: In the event that Seller should fail to consummate the transaction contemplated herein for any reason, except Buyer's default; (i) Buyer may enforce specific performance of this Agreement in a court of competent jurisdiction and in such action shall have the right to recover damages suffered by Buyer by reason of the delay in the acquisition of the Property, or (ii) may bring suit for damages for breach of this Agreement, in which event, the deposit made hereunder shall be forthwith returned to Buyer, or (iii) declare a default, demand and receive the return of the deposit. All rights, powers, options or remedies afforded to Buyer either hereunder or by law shall be cumulative and not alternative and the exercise of one right, power, option or remedy shall not bar other rights, powers, options or remedies allowed herein or by law. XXXV. LIQUIDATION DAMAGE CLAUSE: If Seller decides to terminate this transaction at any time prior to close of escrow, he/she needs to give written notice of intention to cancel to Buyer. Upon receipt, the Buyer has the option of enforcing any one of the following three alternatives. By his/her signature herein below, Seller specifically agrees to the provision stated in this paragraph: (1) Buyer may cancel this Agreement, (2) Buyer may insist upon the specific performance of the Seller under this Agreement, or (3) Buyer shall be entitled to receive from Seller a total sum of $50,000 or 25 percent of the contractual price, whichever one is greater.

___________________________________​____________________

Seller​Date

___________________________________​____________________

Seller​Date

XXXVI. DEFAULT BY BUYER: In the event Buyer should fail to consummate the transaction contemplated herein for any reason, except default by Seller or the failure of Seller to satisfy any of the conditions to Buyer's obligations, as set forth herein, Seller shall be entitled to retain the earnest money deposit, such sum being agreed upon as liquidated damages for the failure of Buyer to perform the duties and obligations imposed upon it by the terms and provisions of this Agreement and because of the difficulty, inconvenience and uncertainty of ascertaining actual damages, and no other damages, rights or remedies shall in any case be collectible, enforceable or available to Seller other than as provided in this Section, and Seller agrees to accept and take said deposit as Seller's total damages and relief hereunder in such event. XXXVII. MEMORANDUM OF CONTRACT RECORDABLE, PERSONS BOUND AND NOTICE: Buyer may cause to be recorded, at Buyer's option and expense, in the public records of the county in which the property is located, an executed Memorandum of Contract. This Agreement shall bind and inure to the benefit of the Parties hereto and their successors in interest. Whenever the context permits, singular shall include plural and one gender shall include all. Notice given by or to the attorney for either party shall be as effective as if given by or to said party. XXXVIII. PRORATIONS AND INSURANCE: Taxes, assessments, rent, interest, insurance and other expenses and revenue of the Property shall be prorated as of date of closing. Buyer shall have the option of taking over any existing policies of insurance on the Property, if assumable, in which event premiums shall be prorated. The cash at closing shall be increased or decreased as may be required by said prorations. All references in the Agreement to prorations as of date of closing will be deemed date of occupancy if occupancy occurs prior to closing, unless otherwise provided for herein. XXXIX. CONVEYANCE: Seller shall convey title to the Property by Grant Deed subject only to matters contained in Paragraph XXX hereof and those otherwise accepted by Buyer. Personal property shall, at the request of Buyer, be conveyed by an absolute bill of sale with warranty of title, subject to such liens as may be otherwise provided for herein. XL. UTILITIES: Seller shall, at no expense to Seller, actively work with Buyer to assist Buyer in obtaining electricity, water, sewage, storm drainage, and other utility services for development of the Property. XLI. ENGINEERING PLANS AND STUDIES: Upon the execution hereof, Seller shall furnish to Buyer all engineering plans, drawings, surveys, artist's renderings and economic and financial studies which Seller has, if any, relating to the Property, and all such information may be used by Buyer in such manner as Buyer desires; provided that in the event Buyer fails to purchase the Property for any reason other than Seller's default, all such information shall be returned to Seller together with any information that Buyer may have compiled with respect to the Property. XLII. DISPUTE RESOLUTION:

A. MEDIATION: Buyer and Seller agree to mediate any dispute or claim arising between them out of this Agreement, or any resulting transaction, before resorting to arbitration or court action. Mediation fees, if any, shall be divided equally among parties involved. If, for any dispute or claim to which this paragraph applies, any party (i) commences an action without first attempting to resolve the matter through mediation, or (ii) before commencement of an action, refuses to mediate after a request has been made, then that party shall not be entitled to recover attorney fees, even if they would otherwise be available to that party in any such action. THIS MEDIATION PROVISION APPLIES WHETHER OR NOT THE ARBITRATION PROVISION IS INITIALED.

B. ARBITRATION OF DISPUTES: Buyer and Seller agree that any dispute or claim in Law or Equity arising between them out of this Agreement or any resulting transaction, which is not settled through mediation, shall be decided by neutral, binding arbitration. The arbitrator shall be a retired judge or justice, or an attorney with at least 5 years of residential real estate Law experience, unless the parties mutually agree to a different arbitrator, who shall render an award in accordance with the State in which the Buyer uses in their address as indicated in Paragraph labeled “Parties”.

​“NOTICE: BY INITIALING IN THE SPACE BELOW YOU ARE AGREEING TO HAVE ANY DISPUTE ARISING OUT OF THE MATTERS INCLUDED IN THE ‘ARBITRATION OF DISPUTES’ PROVISION DECIDED BY NEUTRAL ARBITRATION AS PROVIDED BY STATE LAW AND YOU ARE GIVING UP ANY RIGHTS YOU MIGHT POSSESS TO HAVE THE DISPUTE LITIGATED IN A COURT OR JURY TRIAL. BY INITIALING IN THE SPACE BELOW YOU ARE GIVING UP YOUR JUDICIAL RIGHTS TO DISCOVERY AND APPEAL, UNLESS THOSE RIGHTS ARE SPECIFICALLY INCLUDED IN THE ‘ARBITRATION OF DISPUTES’ PROVISION. IF YOU REFUSE TO SUBMIT TO ARBITRATION AFTER AGREEING TO THIS PROVISION, YOU MAY BE COMPELLED TO ARBITRATE UNDER THE AUTHORITY OF THE STATE CODE OF CIVIL PROCEDURE. YOUR AGREEMENT TO THIS ARBITRATIOIN PROVISION IS VOLUNTARY.”

​“WE HAVE READ AND UNDERSTAND THE FOREGOING AND AGREE TO SUBMIT DISPUTES ARISING OUT OF THESE MATTERS INCLUDED IN THE ‘ARBITRATION OF DISPUTES’ PROVISION TO NEUTRAL ARBITRATION.”

Buyer’s Initials ( __________ ) ( __________ )​​Seller’s Initials ( __________ ) ( __________ )

XLIII. PENDING LITIGATION: Seller warrants and represents that there are no legal actions, suits or other legal or administrative proceedings, including cases, pending or threatened or similar proceedings affecting the Property or any portion thereof, nor has Seller knowledge that any such action is presently contemplated which might or does affect the conveyance contemplated hereunder. XLIV. SURVIVAL OF REPRESENTATIONS AND WARRANTIES: The representations and warranties set forth in this Agreement shall be continuing and shall be true and correct and as of the closing date with the same force and effect as if made at that time, and all of such representations and warranties shall survive the closing and shall not be affected by any investigation, verification or approval by any party hereto or by anyone on behalf of any party hereto. XLV. ACQUIRING APPROVALS: The obligation of Buyer to close is conditioned upon Buyer's having acquired all the necessary approvals and permits to use the property for a Family Residence. XLVI. OTHER AGREEMENTS: No prior or present agreements or representations shall be binding upon any of the Parties hereto unless incorporated in this Agreement. No modification or change in this Agreement shall be valid or binding upon the Parties unless in writing, executed by the Parties to be bound thereby. XLVII. CLERICAL ERROR WAIVER: In the event the Buyer at any time discovers that any of the documents executed in connection with this transaction contain an error caused by clerical mistake, calculation error, computer malfunction, printing error or similar error, all parties agree, upon notice from the Buyer, to re-execute any documents that are necessary to correct such error(s). Seller agrees that no party to this transaction will be liable to the Seller for any damages incurred by the Buyer that are directly or indirectly caused by any such error(s).XLVIII. MARKETING: Seller authorizes Buyer to market property during escrow for Buyers benefit. Marketing is defined as, but not limited to, placing the property for sale in the Real Estate Multiple Listing Service (MLS), advertising in the Newspaper or other periodical, and placing a for sale sign on the property.XLIX. MEETING OF THE MINDS ACKNOWLEDGEMENT:Seller has thoroughly and completely reviewed the Purchase and Sales Agreement and understands completely all terms and conditions contained therein. Seller further acknowledges having no confusion, uncertainty about any aspect of the Purchase and Sales Agreement and has sufficient experience in real estate transacting to be able to sign the Agreement with absolute confidence in Seller’s ability to comprehend all matters related to it and to the sale of the property. Seller further understands and agrees to have been given sufficient time to read through this Agreement and has also been given the opportunity to seek advice from Seller’s legal council prior to agreeing to the terms of this Purchase and Sales Agreement. The Buyer, their representatives, or Seller’s current situation has not forced Seller into signing this Agreement.

L. ADDITIONAL TERMS:

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Buyer​Date​Buyer ​Date

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Bobby good to say hello. 

As to an LLC. on your first it's too soon. Also it may be the wrong type.

LLCs are for passive.  SubSis for flipping. 

Weigh your exposure.  LLCs and Subs mitigate that and at times very needed. 

However the cost of entity filings, tax returns, Minutes, insurance and the like at times outweighs need 

make some PROFIT first

The answer is always in the current houses for sale and those who just sold. 

If your competition has old windows than stay with what you have. 

The worst thing we investors can do is rehab to our desires.  

I like doing a six-pack of current for sales.  

It tells us what to do