your proprly structured Opton agreement should secure your interest above the pay off to the original seller (theOwner)
Does Your Orignal Purchase Contract and/or Option Agreement with the Seller spell this all out?
Do You Have a Power of Atty. to close and/or convey title?
What IS Your Original Agrement with the Owner of Record (on title)?
Is it an LO?
Subj-2?
Trust?
CFD?
Eample:
"Seller agrees that all NET-Proceeds from the sale (after costs),OVER and ABOVE $XX,XXX.XX""which would be credited to (owner of Record),"" be PAYABLE TO:
QUINN.....
in a Draft from the Buyer by the Title-Officer(Agent) or by the Buyer's Atty... "
Something like the above language should be included in your Purchase or Option Agreement.
The title co. can list this amount on the HUD 1 as a creditor payment or for Services Rendered.
But won't there still have to be a double closing? Or am I missing something?
OH, I SEE! There won't be a simul-closing beause I'm operating as POA so I'm selling on behalf of the seller, who will not be present. Right? I close, sign whatever docs are needed to close, the original seller's loan in paid off, I get the remainder and my buyer gets a house with his own mortgage.
In Iowa, any type of lease/option or contract for deed will give you equitable title with real title (?) in the origional deed holders name. The title opinion/insurance should allow a clear transfer in states where equitable title is acknowleged.
Quinn:
your proprly structured Opton agreement should secure your interest above the pay off to the original seller (theOwner)
Does Your Orignal Purchase Contract and/or Option Agreement with the Seller spell this all out?
Do You Have a Power of Atty. to close and/or convey title?
What IS Your Original Agrement with the Owner of Record (on title)?
Is it an LO?
Subj-2?
Trust?
CFD?
Eample:
"Seller agrees that all NET-Proceeds from the sale (after costs),OVER and ABOVE $XX,XXX.XX""which would be credited to (owner of Record),"" be PAYABLE TO:
QUINN.....
in a Draft from the Buyer by the Title-Officer(Agent) or by the Buyer's Atty... "
Something like the above language should be included in your Purchase or Option Agreement.
The title co. can list this amount on the HUD 1 as a creditor payment or for Services Rendered.
Hope this helps!
Derrick
But won't there still have to be a double closing? Or am I missing something?
OH, I SEE! There won't be a simul-closing beause I'm operating as POA so I'm selling on behalf of the seller, who will not be present. Right? I close, sign whatever docs are needed to close, the original seller's loan in paid off, I get the remainder and my buyer gets a house with his own mortgage.
Right?
Have I missed anything?
quinn
NOPE!
In Iowa, any type of lease/option or contract for deed will give you equitable title with real title (?) in the origional deed holders name. The title opinion/insurance should allow a clear transfer in states where equitable title is acknowleged.