Hey Guys I have come across a Million Dollar Deal, ASKING PRICE $1,345,000 :shocked. I am in the process of negotiating the price with the seller and my buyer. The property is in very nice condition, VERY LITTLE REHAB NEEDED if any, 98% rented, of which most tenants stay an average of 3yrs OR more. Its mainly older folks. My buyer(wholeseller) seems fair but I have not gotten anything in writing, but I believe that his prices will be way lower than what the seller is willing to accept. I believe I can negotiate at least a 12% reduction,(but no lower or I run the risk of loosing him), where the seller will pay his agent 3%.
Question is, I want to get as much as possible but don’t want to blow this deal. Should I ask for a standard percentage like the agent to play it safe? Mind you I am not an agent and don’t want to do anything illegal. And WHO pays me, the buyer or the seller? I am thinking the seller at closing in the form of cashiers check, but not really sure…
Next Question is, dealing with the agent because the seller is out of town, when should I get the contract rolling, when we reach an agreed upon price? Where can I get a contract, that is not TREC or should it be a TREC contract, and what should it look like.
Next Question is, how to figure the closing cost? I don’t have a Title company and I don’t think finding one will be a big deal, but what is the best way to do that? Since my seller is out of town will the agent acting on the sellers behafe to do all of that or is it standard for the seller to fly up and close with everyone?
I am very nervous, this is my real first deal and a big one at that and I stand to make a good fee, but I don’t want to @#$% it up!!!
Any and all advice will be greatly appreciated…