Assignment Question
I know this question seems elementary but I need info on properly doing am assignment. Here's the scenario:
I have a Pure Option Agreement on a property worth about $65K for $41K with the seller. I am marketing it as instant equity... for $46K($5K spread).
I have an investor who is looking to buy it from me so to sell him my option of $41K for $5K, what's the best way to get this done?
If he has $5K cash I can assign my option to him and then be on my merry way, correct?
If he has less than $5K cash I can collect part now and then the rest at settlement?
I know he would have to do a contract with my seller and I will have to do an assignment agreement to get paid at settlement...
Can anyone let me know if I'm missing something...Just wanna have all my bases covered.
It depends. I am new also and will be closing my 1st 2 deals in the next 2 weeks. I have a signed agreement with the sellers for the purchase price that was agreed upon. In my contract it says that me or my assigns will purchase. Do not have your buyer sign a contract with them. He could then try to cut you out. Have him sign an assignment agreement with you. Find a title company that knows how to work with contract assignments and at settlement you will receive your assignment fee.
this is an assignment of contract you need to use;
hereby assigns, transfers and sets over to ____________________________ ("Assignee"
all rights, title and interest held by the Assignor in and to the following described contract:
ASSIGNMENT OF CONTRACT
FOR VALUE RECEIVED,____________________________, the undersigned Assignor ("Assignor"
The Assignor warrants and represents that said contract is in full force and effect and is fully assignable.
The Assignee hereby assumes and agrees to perform all the remaining and executory obligations of the Assignor under the contract and agrees to indemnify and hold the Assignor harmless from any claim or demand resulting from non-performance by the Assignee.
The Assignee shall be entitled to all monies remaining to be paid under the contract, which rights are also assigned hereunder.
The Assignor warrants that the contract is without modification, and remains on the terms contained.
The Assignor further warrants that it has full right and authority to transfer said contract and that the contract rights herein transferred are free of lien, encumbrance or adverse claim.
This assignment shall be binding upon and inure to the benefit of the parties, their successors and assigns.
Signed this _________ day of ______________________________, 20_____.
____________________________
Assignor's Signature
this is an assignment of contract you need to use;
hereby assigns, transfers and sets over to ____________________________ ("Assignee"
all rights, title and interest held by the Assignor in and to the following described contract:
ASSIGNMENT OF CONTRACT
FOR VALUE RECEIVED,____________________________, the undersigned Assignor ("Assignor"
The Assignor warrants and represents that said contract is in full force and effect and is fully assignable.
The Assignee hereby assumes and agrees to perform all the remaining and executory obligations of the Assignor under the contract and agrees to indemnify and hold the Assignor harmless from any claim or demand resulting from non-performance by the Assignee.
The Assignee shall be entitled to all monies remaining to be paid under the contract, which rights are also assigned hereunder.
The Assignor warrants that the contract is without modification, and remains on the terms contained.
The Assignor further warrants that it has full right and authority to transfer said contract and that the contract rights herein transferred are free of lien, encumbrance or adverse claim.
This assignment shall be binding upon and inure to the benefit of the parties, their successors and assigns.
Signed this _________ day of ______________________________, 20_____.
____________________________
Assignor's Signature