Renegotiating an assigned contract

Bird Dogs, Wholesaling
1

Ok, so i have my contract assigned, and my end buyer has now stated that she was unaware that she had to pay all closing costs, which she was, however I assumed she knew. She said she is not paying more than half of the transfer taxes and always splits them with the seller. and she does have a way to get out of the assignment contract
Deal facts:
Under contract for 155k
Assigned for 173,500 (I pay 4500k to another party out of that)

My question is should I offer to pay half to make sure the deal goes through, tell her no and see what she says/does. I had several other people that are interested and am only into day 3 of my 45 business day contract with the sellers, should I just market to them?

How are your deals normally structured, do the end buyers always pay all of closing costs or do you sometimes structure it differently.

If i pay half the transfer taxes I am probably looking at about 1700-2000 dollars…

I also don’t want to have no buyers, and end up with no assignment fees.

The only thing I have been able to come up with is that if I give up 1800k in transfer taxes, I should have her renegotiate the assignment contract so that I get a 2k deposit (thus voiding the 1k deposit she already gave) and have her sign an new assignment contract with no financing clauses (which is her out in the assignment contract). My only question if I did this is how do I void the old assignment contract that I forwarded to the title company.

What would you all do?

2

bump

3

To me this would depend on two things: 1) did the contract state which party would be responsible for the transfer taxes?, and 2) did your buyer have the opportunity to read the contract before she signed for the assignment?

If the answer to both of these questions is “yes”, your end buyer should pay what was written in the contract.

If either of these conditions was not met, you should probably consider whether or not you want to assign a contract in the future to this buyer. If this buyer is capable of closing a high volume of transactions, you may consider working with them on a mutually agreeable resolution as it will save you time and money in the long run looking for consistent, reliable buyers (which are becoming more difficult to find by the day).

4

We did end up renegotiating. My only stipulation was that she resign a new assignment contract that had NO contingencies. I gave up something, but I got something.