Clearly Getting Out Of A Deal.
To those of you who have done the"DEAL"
If I was able to get an option or Lease option on a deal, then was able to sell the property to someone else for a higher amount and subsequently assigned my deal back to the seller, what is the best way to get paid the overage coming to you from the end buyer?
(ie. I have an option to purchase a property for $326,000 and can sell for $430,000 - preforeclosure. I assign the contract back to the seller informing of such. How can I guarantee the payment of the difference??????
Use a Title that is familiar with "Assignments".
You are going to open escrow as "assignment" and your Buyer will close with your seller and the Title company will cut you a check.
Neill,
I've seen this done before with someone assingning their contract at title but to help keep the transaction clean with a lender doing a loan for the buyer and title seasoning issue that may or may not come up, it would be better to have the purchase contract between the original seller and the end buyer. I just want to make sure that I get the spread that I was able to negotiate from the end buyer from the seller/title at closing. The seller could renege on this at the last minute.
Would you not fill out a disburment sheet between you and the seller before closing? The title company then satisfies any outstanding balances, the closing cost etc... then a cashiers check for the remainder is given to you.
Record a mortgage for the difference in what you bought it for (assigned) and the price you sold it for.
Have the seller pay you now the difference in price.
If you are concerned for the profits why not stay in the deal until it cashes out.
These replies sound good in theory but again you would still need a guarantee from that end seller that you are getting those funds. A disbursement assumes that the seller won't change his/her mind at the closing table. Wouldn't recording a mortgage be too late in the process? Prelims may be pulled before that Mortgage gets recorded or if the deal falls out I have to get that released by Satisfaction of Mortgage or it remains a cloud on title!
Hi folks,
As soon as you and seller reach an
agreement have a performance mortgage recorded in you court www.house.Or an affidavit
and memorandum of agreement these must be
notorized and www.recordee.These will cloud the
closing and whoever does the close must
contact you for your www.payoff.Only my 2 cents.
Have a good day.