Assignment Question???
Ok, I find my property put it under an assignment contract, then find my buyer and sign a contract with him that includes my fee. My question is when the home closes does this have to be done with a double closing. I understand the whole process but I'm not sure about the actual closing and how and when I get paid. I have an excellent deal in the works but I want to make sure I have everything in order.
If you want to do a double close you can or you can simply reassign your original contract to another buyer if you choose. If you choose to reassign that contract then it is a good idea to draft a document between yourself and the new buyer outlining the arrangement between the two of you. the process is pretty straight forward but if you are unsure about some of the steps involved then it is probaly a good idea to partner with a more experienced investor who can help you through this process your first go around.
The exchange of $$ takes place the day of closing at a investor friendly title company. the title company will cut all parties involved a check according to the HUD 1 statement. It is a good idea to review this ahead of time to make sure it is dreafted up properly. Also, it is a good idea to request earnest money from your new prospective buyer to replace your own $$.
HTH
Larry Brusatori