I would really like to know some clauses that everyone is using in their contracts for wholesaling. Please post the ones that you have used or are using. I Think it would be helpful for everyone to see.
You only need one good clause. If the property is vacant, I normally just use an inspection clauses and that the results must be acceptable to me. If the property is tenant occupied, I have a “rent roll and tenants must be acceptable to buyer”. Keep it clean no need to junk up a contract with outs clauses.
As a guy who has done a few hundred deals I think it is imperative that you have a solid agreement to purchase that covers all the various ways we buy houses.
When you walk into a home you rarely know what deal youre going to walk out with… Also the agreement, if built correctly, has “Character” clauses within it. Little paragraphs that tell the seller the “Reliability” story. After all you just met them and now are extracting buckets from them… They’re nervous and afraid… These little paper wasters help them like you… Trust you… Some tell them that they cant screw with you down the line…
I sit and paraphrase each paragraph in my 12 page agreement and rarely have someone not sign and then they “Thank” me for buying their home.
Good luck
Michael
I now use zero contingencies but when I was just starting I always had a financing contingency and that was it. Had no problems buying lots of stuff off the mls with this contingency.
Nate-WI