Its me seasoninvestor signed up as loanstar; hows everyone doing? I hope you are all doing good!
I’ve got a question and its about the assignment fee. I was reading an article the other a day about how its done and inside the article it stated that the usual fee for a no assignment clause is: $10,000 for a $100,000 dollar house: $50 for a $500,000 dollar house and so on and so forth.
I was talking with one of my investors just yesterday and he told me he would gladly accept an assignment fee but that $10,000 is a tight squeeze for a $100,00 dollar house. He also said he could pay me: $500-$1,000 per house closed.
Can you tell me if this is fair? I don’t want to charge too much for a deal but I also don’t want to be stranded either.
I think the $10,000 is fair but I don’t know what to do. Can anyone tell me what the fair price is to turn over a residential for him to buy, and then rent it out?
let me know,
and thanks in advance!
What he does if fix up the house from what it was, to a better house. The 10k applies to retail value.
Does anyone know if the standard retail no assignment fee is really a true $10% for the retail value?
Also, Does anyone know the routine to the contracts involved to the no assignment fee? or contracts via for instance where does the clause go? on the contract and should the seller use a real estate sales contract when advised not to??..and a place where I can go to follow it step by step?
Thank you in advance again, you guys are the greatest!
hello again to all.
What is an assignment fee?
yes I do, I heard on some articles that $3,000 is ok. Does anyone know about charging as much as $10,000 per deal? Is that too high?
A no assignment fee is apart of the no assignment clause, if you were to sell a house to an investor, you can put this clause at the end of the contract and sell the contract to an investor.
I am searching for the standard fee. Most say its a percentage of the retail value. But what is the best or fair percentage?
An assignment fee is when you get a property under contract and next to your name you write “and/or assigns”. This means that you can now sell that contract to another buyer who will actually close on the house, but the new buyer pays YOU an assignment fee for the contract. Usually about $5000 - $$10,000.
You make that money without ever owning the house.