Do I have to execute a deed for lands (parcels) or do I just need to have my seller sign a purchase agreement contract? Sorry if this is a stupid question. Thanks!
Need a little more information. A deed transfers ownership or title to the land. Sort of like signing the back of the car title. There is no actual title to land. A deed is what the seller signs when they sell. It should be recorded at the county courthouse as well.
A sales contract is used just to agree to purchase the land in anticipation of getting the seller to transfer the property to you. Always get a title search to make sure there are no unknown liens or other problems with the title.
Thanks you Ted for replying. I guess I am a bit confused with a deed. So I guess I wouldn’t worry about getting a deed since I will be just flipping my contract correct? And the same goes for houses right? So all I need is to get the seller to sign a purchases agreement and then I could assign that contract to my investors right? Thanks again?
It is a little more complicated than Monopoly where you get the deed when you pay the money. Deeds are not that hard to understand but all you need to use is an earnest money contract to control the property and an assignment of the contract agreement to flip the contract. Land, houses, farms, skyscrapers are all bought and sold with contracts and deeds once the sale is closed.
Thank you so much TedJr. One more question, what is a Vacant Land Contract for and when is it used. Is this the same as the Purchase agreement contract? Thanks!
It is used for vacant land. You would use a 1 to 4 family for a house, duplex up to 4 units on a resell. There are contracts too for new builders for new homes.
Could you elaborate a little more? What do you consider a vacant land? Is undeveloped land considered a vacant land and land in a neighborhood with no hous built on it considered not a vacant land, therefore; I could just use a purchase agreement contract? What do you mean by using a 1 to 4 family for a house, duplex up to 4 units to resell?
Vacant land means no house or building. Vacant lot is vacant land no matter where it is. There may be special forms for large ranches or wet lands. All you need is a 1 to 4 family earnest money contract that is not for new construction. Theses are considered existing buildings (resell) If you are in Texas I can email you a copy of the Texas form that you will use or if not in Texas I can send you a copy of one that we use as an example. You may be trying to make it too hard.
Thanks Ted, I have a friend that wholesales land. i noticed they used two different froms one is a Offer To Purchase Real Estate contract and they have another contract Vacant Land Contract. I am just confused on when to use what or if I use both. If you could please E-mail me the example form to email@example.com Thank you sir!