Newbie needs help:
Do you use the same steps to assign a Sub2 (pre-foreclosure) deal as an “Ugly” house deal?
Do you get the Deed before you assign? or does the investor you’re assigning the contract to take care of that?
Thanks for help! I’m almost brave enough to go do my first deal!
Do you have a buyer yet?
I can’t imagine how assinging a contract to purchase would be different if the house is ugly or pretty. If the deal is reasonable the only thing that matters in a forclosure is the time frame.
I’m curious as to how much you are trying make for the assignment fee? I just had a deal go to forclosure because the wholesaler wanted too much money and wanted to be paid before she would relaese any info. When she didn’t even have the reinstatemt amount.
It just doesn’t seem right to me that people are entrusted to stop a forclosure and don’t because of greed and distrust. Sorry about the soapbox speech, but if you are telling people that you can prevent a forclosure, you need to actually do it. I’m not saying that’s you of course, I’m just saying that has been my experience.
Anyway, what’s the going rate for assignments in your area?
THANK YOU for respoding. This is my first time doing this, and I was so excited to read your comments.
I have a lead is all. A lady has a house that is scheduled for foreclosure in January, that’s all I know so far.
The wholesaler you’re describing makes me kind of sick. People in foreclosure are in trouble and need help, and greed, in general, makes me mad - but thanks for the reality check and example.
If the numbers work, I would plan to assign the contract for between $3,000 and $5,000, probably less, because I doubt there’s much room in a deal like for everyone to win. I don’t know the going rates for assignments yet, just getting started.
I guess my questions are:
Do wholesalers normally assign a Sub2 deal or is it more practice to keep the property yourself and L/O?
and, if you DO wholesale a Sub2 deal, do you put the deed in a land trust and then transfer the deed from the trust to the investor at the same time as you assign the purchase agreement to them?
Sorry, this got long - but thanks to anyone who can help!