So excited to be here in the wonderful world of real estate investing! I am soooo on information overload. Ive read about 15 books on REI in the past 3 weeks and man am I motivated to start making some money. Any whoo I found some rei forms online but I cant make out what they are for (as i am a newb). Can anyone be so kind as to point me in the right direction to get purchase agreement forms, Deed Form ( where the seller deeds you control of their property for a cetain amount of days) and any other forms needed to lock in my first dealeroo! Thank you so much in advance!
A new investor with minimal experience and know how, combined with unfamiliar contracts, is a recipe for disaster. The paperwork is but a small piece of the puzzle.
Of course everyone starts raw and inexperienced. That wasn’t my point. What I’m saying is that rushing to do a deal with “information overload” and a set of agreements you scored off the internet is not a wise approach.
Yes that is true although i intended to study the contracts, get familiar with them and word my own. my enthusiasm must have come across the wrong way as i am not just wanting to jump in with no experience as i know of the legal percussions as i am a paralegal. anyways if anyone could offer any sites that have info on learning contracts and forms i would greatly appreciate it.
I earned a real estate license several years ago and had to learn the “standard” contract inside and out. I even went so far as to “create” my own on a computer so all I had to do was fill-in buyer, price, etc. This created an issue at one closing because the closing attorney was unfamiliar with what I had produced. Nothing wrong with it but not what he was used to seeing. Last year I bought/sold three different properties and found I was much more comfortable with gathering the information and stipulations and turning it over to my attorney to draft the contract. I know many on the forums here will say “have the other party sign a contract IMMEDIATELY!” I prefer to take things slow and ensure that all parties are satisfied and informed.
It would be a good start to say where you will be using these forms. From your name I may draw the conclusion your in Britain, and of course that could be totally wrong. Just for now lets assume your in the U.S. and your not really a paralegal or you would know going to the local law library would be a good place to start. The second place would be to find an investor in the area your in doing business and ask them for their forms. They would be experienced in your area and their forms generally more specific for your area.
Many investors are willing to share because if your wholesaling for example they may do business with you later and a common form is nice. You also accomplish a little start on networking. One newbie I knew just went to the sellers of other deals and asked to make copies of the paperwork explaining he was brand new and offered to buy them lunch or whatever, where he also picked their brain about their experience. He did that with a few sellers of a few investors and said he got a good education and was surprised that these sellers were so willing to help out a newbie so freely.
One very important factor is to have a well written agreement. You need to make sure you protect yourself and clearly state the responsibilities of both parties. Your local REI club should have some buy/sell agreements. A real estate agent friend may be willing to give you a copy of their purchase agreement which you could amend for your own use.
:help