Dealing With A Real Estate Agent On SubTo?

JohnCl profile photo

Please tell me their is an easy answer and I am just making this one hard.

I have a house under contract to take it SubTo. A real estate agent is interested in showing it to a potential buyer. She will need to give her broker and herself a commision, which is fine with me, as long as I get my price. This means she will need to list it. I am not interested in having anyone list the property unless I have money in my hand and it is just a formality.

How do I "sell" a house I don't own yet through an agent?

These are a couple of ideas I had:

1) Get the agent to tell the buyer she has found a good deal but another investor already has it under contract. The investor (me) will tear up the contract for a fee (the agent obviously doesn't want her buyer to know the house was being sold to someone else for the value of the note). I get my check, tear up the contract, they start fresh.

2) Go ahead and get the buyer pre-qualified and get everything lined up with earnest money in hand before executing my purchase. Sell the same day/week. My concern is title seasoning. The buyer looks like they have the credit but I know many banks are picky about double closings. I could owner finance the buyer and let them do a non-seasoned refi from this position also. Also, how do I get the funding bank to go ahead and pre-approve the buyer on a property they don't yet have a deed on?

Ideas? TYIA,

JohnCl

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