Documents Needed When Purchasing Pre-foreclosures
Ok, so I have the concept. I have the lists. So when I make an offer and it gets agreed to what documents do I need for the current owner to sign and fill out? I know the sales contract is an obvious one but what else? Quick deed? I don't know. Your help would be appreciated. Also, just an FYI I plan on purchasing the home and do a double closing to someone else. SO can anyone tell me the steps/documents needed??? Thanks - Chris :-?
Cuzy,
To purchase property you simply need a real estate purchase contract/agreement.
You indicated you plan to flip the property, you should have a buyer lined up as well.
Since you are dealing with a preforeclosure and I assume you are planning to purchase with no out of pocket you will need to add some protective clauses as well.
Sounds like you plan to purchase the property subject 2, what clauses do you plan to use and do you have buyers lined up or are you just planning to get a property under contract and see if you can sell it?
[addsig]
Hi John, I appreciate feedback. Actually, the property I was going to offer isn't available anymore but I am going to see a distressed property $70k under market value Thursday. This is my first house so I am unaware of what clause I should use. Your help in this manner would be much appreciated. My plan is to do a contract, fix it up for 2-3 weeks and call all of the "We Buy Homes Fast" people and try to get them to do a double closing on it. I have no idea on how to exacly do this. Please advise, I really don't want to make any mistakes as this is my first one and of course has to happen around the holidays!! Thanks - Chris
Sorry for not getting back to you sooner!
When you use clauses you are placing the property under contract subject 2:
And/or assigns or and/or Nominees
Subject to buyer herein, finding a new buyer/assignee
Subject to final inspection
Subject to my partner's approval
Right to Extend purchase agreement
Offer is contingent upon the buyer obtaining financing from ABC Lenders
Subject to existing loans
And the list goes on.
Take a look at the following post will provide a better understanding:
Articles
http://www.thecreativeinvestor.com/modules.php?name=News&file=article&articleid=654
http://www.thecreativeinvestor.com/modules.php?name=News&file=article&articleid=626
http://www.thecreativeinvestor.com/modules.php?name=News&file=article&articleid=295
Forum
http://www.thecreativeinvestor.com/modules.php?op=modload&name=Forum&file=viewtopic&topic=28002&forum=12
http://www.thecreativeinvestor.com/modules.php?op=modload&name=Forum&file=viewtopic&topic=20935&forum=35
http://www.thecreativeinvestor.com/modules.php?op=modload&name=Forum&file=viewtopic&topic=148&forum=19
I would highly suggest searching the Subject To Forum http://www.thecreativeinvestor.com/ViewForum34-8546.html
And also John Locke's Subject to guides at: http://www.thecreativeinvestor.com/modules.php?op=modload&name=Shopping_Cart&c_op=popProd
Good luck and let us know how your deal(s) go.
[addsig]
I see you went through a lot of work to help me out. It's much appreciated! - Thanks, Chris
sounds like some good stuff here chris...
i am on the sideline observing the deal...
all the best
Thanks Frank - Pat. I'm nervous though. This is my first one.