Wholesaling a Property on Assignment of Contract

[Anna Obrastaf]

Hi,

I am putting a property under contract tomorrow. Does anyone know where I can get an assignment of contract form?

Thank you

[Hassan Omar]

use an option. It's easier to use and for you to get paid

[Joshua Weidman]

Anna,

If you plan to whoelsale regularly, I would spend the money to hire an attorney to put together a localized assignment contract. I am in Philadelphia and wholesale between 6 and 12 properties per month. Last spring, Pennsylvania changed their laws and required 2 sets of transfer tax to be paid on assignment deals. Every state and even some counties have specific laws governing what is okay and what isn't. There was a manin Maryland that was fined over $600k for not following the letter of the law (happened some time in 2008). On one deal itmay not be a big deal. If you are going to be doing some volume, you'll want to be careful.

[Ron Garner]

the option is the best and easiest contract to use for wholesaling

[Matt Gerchow]

I would not use an option...unless your seller is willing to sign one.
Most times sellers want to believe you are going to close. Using an option is a good way to get a seller to take another contract behind yours. You will also have a difficult time recording an option, which you should do on every property you get under contract.

Matt

http://www.Real-Estate-Investing.com
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[Pedro Gonzalez]

Anna:

This might be a little late. I am willing to share with an assignment form we use. I only ask that you get it reviewed by your legal advisor before you use it.

As far as using an option or assignment, I agree with Matt and I recommend the assignment. As Matt said the assignment has a stronger presentation than an option.

[Rob Beeman]

Anna, I have used, and seen used, the assignment form. Also, make sure that the sales agreement reads Buyer's name, "and/or assigns", in the area of the agreement where the buyer info is filled in. Some title clerks/attorneys will look for it.

If you need Transactional Funding for your Double Closings (same day closings), let me know.

Pedro Gonzalez said:

Anna:

This might be a little late. I am willing to share with an assignment form we use. I only ask that you get it reviewed by your legal advisor before you use it.

As far as using an option or assignment, I agree with Matt and I recommend the assignment. As Matt said the assignment has a stronger presentation than an option.