If I have a contract on an income producing property at 50k, and it will appraise for 70k and I have a buyer who wants it at 70k, can I take a 20k assignment fee at closing? Will a conventional lender see this and balk?
Any other ways to do this? I don’t want to own it. I just want to get paid the difference. Is there a % cap on assignment fees? Alternatively, can I take it as a commission? Is there a % cap on that? Thanks in advance.
:beer
I’m not a loan officer, but having done a ton of loans, I do have some insight.
Some lenders may have a problem with it. Others won’t care as long as it does appraise for the end purchase agreement (probably through an appraiser of THEIR choice).
Best course is to simply ask the lender/lenders that the end buyer intends to use. Even if they do have some “problem” with it, if they want to do the loan, many will offer solutions to help you out.
One, for example is to simply take part of the fee upfront and part of the fee at closing if the dollar amount is too much for the lender.
Unless you are a real estate agent there is no legal way for you to take a commission on the sell of the property. If you are a RE agent, then you can contact your state’s RE commission concerning commissions.
Raj