Logistics Of Assignment
Trying to figure out how this works.
1. There is a Realtor (always mucks things up).
2. I know the seller will take significantly less than asking price.
3. I want to write a contract "and/or assigns."
4. I already have the end buyer (assignee) that will buy at near- market value.
So, I sign the contract, then what?
1. Is there another document that "assigns" the contract? Or, is it just a new contract with the new buyer's name? How is the assignment documented?
2. Do Realtors have their own set of docs to accomplish this?
3. How am I paid at closing? Am I on the HUD somewhere?
The way i understand this is:
There is another document that assigns the contract to your assignee. You can search for one on the web and perhaps retype. Have your assignee sign two of these, one for you and one for him. Get paid by him right then or don't assign. He should also get a copy of the original contract and earnest money check which is now in escrow at a title company. Let the agent know that one of your associates will be closing instead of you and that you have assigned the contract. The agent may want contact info for new buyer. Then you are done. the assignee takes it from there and closes.
also your earnest money is alos assigned to your new buyer so make sure you figure that into your fee from him.
The way I have seen this work before (at the very end) was a "consignment fee" on the HUD, paid to the assignor from seller's proceeds.
There was an "and/or assigns" contract to start, and a new contract by the assignee/buyer at the new price. I just don't know what went on in the middle, i.e., what documents were used, if any.
The way I have seen this work before (at the very end) was a "consignment fee" on the HUD, paid to the assignor from seller's proceeds.
There was an "and/or assigns" contract to start, and a new contract by the assignee/buyer at the new price. I just don't know what went on in the middle, i.e., what documents were used, if any.