When assigning my option contract to a new lease/purchaser, IS THE OPTION MONEY AND ASSIGNMENT FEE DIFFERENT OR AM I JUST RECEIVING A PIECE OF THE OPTION MONEY AS AN ASSIGNMENT FEE? I know the option money goes to the seller as a non refundable fee. So how does my assignment play a part. Let’s say I want to make $5k, is that 5K separate?
just a little confusion here
Jason
Jason,
It is all in how YOU present it.
If you want 5k as your fee and the option money that the buyer is putting down, then the sellers will get none of the option money. If you wanted 3k as your fee, the sellers would get the remaining 2k as theirs to spend.
You have 2 different contracts but it will be alot easier to sell the deal to a seller if there is some left in it for them or at least they do not have to come out of pocket.
Like Dante said, the details of the deal will determine how the money is distributed. For example, what type of assignment is it? What does the agreement you are using state? Etc.