I have a signed PA to purchase a house for cash with my business name listed as the buyer. There are a couple of reasons that I would now prefer not to buy this house and because it is a good deal I believe other investors would still be interested. I am very inexperienced and I am not sure how I would wholesale this or if it is possible.
Can I assign a contract if I am listed as the purchaser?
Money needs to be wired ahead of the closing. I am not sure how I would assign and protect me and the potential party that I assign the contract to. Would I or would they wire the money? If I wire it, how do I receive the money from the party that I assigned the contract to?
The title co will handled the money. all you need is an assignment of contract contract and have buyer sign and send it to the title co. make sure to get closing date. You can also have buyer pay you fee upfront in exchange for the rights of your contract.
You should have no problem, but always list yourself as buyer or as assigned (John Smith or as assigned). What this does is makes any person you flip the contract to the assigned and thus is on the agreement.
I don’t know to much about the specifics, as far as, how much you are purchasing the property for. How much are properties selling for in that area comparable to the house you have under contract. Knowing what properties in that area are selling for, is very key in knowing what price you need to pay for the property without over paying. My advice is to link up with a realtor and see if he or she can run comps for you. Now once you have done your homework and you feel its a good enough deal, then contract it with the seller. Where it says “Buyer” put your entity name or personal name, including and or assignees. So it should look like this: “Fruitville llc and or assignees”. Not sure where you are from and what kind of contract you are using. Im in florida and I use a standard as-is contract. On page 9 of that contract inside of the special clauses I write this as well. Seller must pay for any unknown liens and taxes, This is a net to seller contract(if you are assigning the deal)meaning buyer paying all closing cost. Seller must pass free and clear title, if not then buyers deposit is refundable. Buyer has rights to assign this property. So to answer your question is YES, you can assign the contract if you are the buyer, you just have to fill out contract the way I explained above. Once you have signed agreement from seller, now align your end buyer up with an a assignment of contract. Assignments are simple one page contracts. Once you have the assignment signed by your end buyer, then take all work to work title company and have them get in contact with both seller and end buyer to handle wires. That is the title company’s job. Hope this helps.