Ok so I just got off the phone with a lady who is in foreclosure and is very motivated to sell. Comps in area are 105 to 115 thousand. She owes roughly $60,000 & behind 3 payments that equil $2600. Very excited to see if I can pull it off. I have a 1 page agreement for sale contact that im planning on using. I am a little confused on a few things. 1. In the contract it states "legal consideration for this agreement is $10. But right under the purchase price section there its a guano to put the amount of earnest money. ??? How does this work? Is consideration amd earnest momey diffrent? Should I just give the seller $10 as earnest money and $10 for considerstion? Also what do I do about the escrow part. Should I send in the $10 to escrow or give to seller? And what do I put if I dont have a title company to put in the blank on the contract? Very sorry for all the questions trying to make clear what im trying to ask.
Without being able to read your contract there’s little way to know what the contract is actually referring to.
I would write "one dollar"in the consideration box and then write what you plan to give the seller as your earnest deposit on the line(s) below (for what little I know about your purchase agreement).
What state are you in?
Who gave you the contract you have? Can you ask them how to fill it out? If not, uslegalforms offers purchase agreements that are filled out with explanations… just saying.
You give the earnest deposit to YOUR escrow/title office when you open an escrow account. You don’t normally, if ever, give any money to the seller until you close the deal in escrow. Otherwise, the seller will take your money, and if the deal doesn’t close, you’re screwed. All money from you goes to the title/escrow company every single time, no exceptions. The check is written to the title/escrow company itself and is deposited in a bonded account.
http://reitips.com/free-real-estate-purchase-contract/ I am in phoeniz AZ. this is the link I got the contract from. Check it out and let me know what you think. There was a video at the bottom of the page that expalins how to fill it out so now I get what it meens. Its there any one in arizona that can let me know if this contract would be excepted by a title company? And im guessing I should find a good title agency first before I sign any contract with the seller, right?
That will work just fine in AZ. Title companies can decipher terms on contracts for your own state, even if written with other state’s laws and statutes. They just won’t break the law and enforce terms that don’t work. You could just get a purchase agreement itself from the title company you want to work with. Title companies can be enormously helpful, short of giving you legal advice, which they will not do.
Let us know how your deal goes down, good, bad or ugly. It helps others learn.
Awesome! Thanks Javipa for checking that out for me I really appreciate it. I will for sure let everyone know how out goes.
Update on my deal. The ladys son told her that I was trying to rip her off and take her money. I explained to the lady that I was only trying to help her out of foreclosure but she decided that she wanted to list her home with an agent anyway. O well my guess its she will be calling me back at some point.
yep follow up with her with a call back in about 30 days than 60 than 90 its amazing what a follow up can do! brings dead deals back to life and builds awesome raport shows that you care and are concerned with helping her with the situation… we are property solution specialist thats what we do help people with there problem property :beer
Wow. this is great to hear. I thought everyone here are pro’s to marketing. #hopefulfordeals