I have a lead on a home quite a distance from my house. If I were to wholesale it would I still open escrow with my local title company, knowing the cash buyer most likely will want to close with his local title company? Can I just mail them the entire trec contract, along with an assignment agreement, and let him open escrow at his title company? What would be the best way to complete this transaction?
The buyer isn’t the one who chooses the title company… traditionally.
Meantime, it’s wiser to open an account with a major title company, closest to the subject property. This ensures the title company has all the insurable data it needs to close, and it makes it more convenient for the buyer to sign docs. In this case, you’ll be the one FEDEX’ing docs to the title company, instead of the buyer.
Hey Mike, Javipa is a lot more experienced than I, but what I’ve done is let my buyer choose his Title company in the town where the house is located. This has worked out perfectly. The Buyer tells me the Title company he will use, I contact them and scan and email my purchase and sales contract along with my assignment of contract and instruct the Title company to make sure the buyer signs it and to immediately email me back a copy asap.
A few times the Title company would call and I would have to explain how the Assignment of Contract works, they had never done a wholesale deal before with a third party.
Once I explained the Assignment Of Contract was simply a demand for payment for my equitable interst, things progressed smoothly.
I like to do things as easily as possible. On one deal the seller lived 5 hours away and the Title company took care of everything, even overnighting the sellers everything they needed to sign.
I usually choose the Title company. This is because of exactly Randoskie said in regards to dealing with a title company that’s never handled a wholesale deal. The more experience your title company is at handling wholesale deals, the smoother it goes. In the end, everyone is happy! :biggrin