I Suggest you get a book or two on the topic as it would cover in better detail from start to finish how it works, I havent tried it but ive read in the forums that John Lockes course is great.
But the jist of it is you find a motivated seller whos loan you can assume. (Subject to= subject to existing mortgage). People in preforeclosure status might me more willing than the traditional FSBO or any other seller. This way you dont have to apply for a new loan, no new closing costs, etc.
Zin we are going one step further... We are making sure they have a relative or friend at the time of signing the contract that has to sign a witness acknowledgement.
Witness Acknowledgment
I ___________________________________________________________ (Witness), on this ____ day of ______________________, 20____, was present at the signing of the Purchase and Sale Agreement dated this same date, between my ________________________________ (relationship), _____________________________________,
the Seller(s), and MY COMPANY., the buyer, for the outright purchase and sale of the real property commonly known as _____________________________________.
I further state as follows:
______ 1. ACCEPTABLE: I witnessed that the Seller(s) acknowledged to the Buyer that the Seller was not pressured into signing The Agreement and that the Seller accepted the Buyer’s offer to purchase the property of the Seller(s) own free will without any undue force or duress.
I further witnessed that the Seller was not pressured into signing and that the Seller accepted the Buyer’s offer to purchase the property of the Seller’s own free will without any undue force or duress.
______ 2. GOOD AND VALUABLE CONSIDERATION: I witnessed that the Seller(s) acknowledged to the Buyer that the Seller received good and valuable consideration in signing The Agreement in the form of cash or a check of not less than One Hundred and 00/00 Dollars ($100.00).
I further witnessed that the Seller(s) received good and valuable consideration in signing The Agreement in the form of cash or a check of not less than One Hundred and 00/00 Dollars ($100.00).
______ 3. IN SELLER’S BEST INTEREST: I witnessed that the Seller(s) acknowledged to the Buyer the Seller’s satisfaction with The Agreement and the terms contained therein and did agree to sell The Property, acknowledging it to be in the Seller’s best interest to do so.
I further witnessed that the Seller(s) appeared to be satisfied with The Agreement and the terms contained therein and did agree to sell The Property, acknowledging it to be in the Seller’s best interest to do so.
______ 4. FULLY INFORMED AND NOT CONFUSED: I witnessed that the Seller(s) acknowledged to the Buyer that the Seller signed The Agreement being fully informed and with sufficient understanding of all terms and conditions contained therein and that the Seller(s) read The Agreement thoroughly and did not appear to be confused about any aspect of The Agreement.
I further witnessed that the Seller(s) signed The Agreement being fully informed and with sufficient understanding of all terms and conditions contained therein and that the Seller(s) read the agreement thoroughly and did not appear to be confused about any aspect of The Agreement.
______ 5. SATISFIED WITH THE SALES PRICE: I witnessed that the Seller(s) acknowledged to the Buyer that the Seller(s) may be selling The Property for less than market value but chose to do so because circumstances dictate that an immediate sale, even at a discounted price, is in the Seller’s best interest. I witnessed that the Seller(s) has acknowledged to the Buyer the Seller’s complete satisfaction with the sales price negotiated.
I further witnessed that the Seller(s) agreed to sell The Property for less than market value. I further witnessed what appeared to be the Seller(s) complete satisfaction with the sales price negotiated.
______ 6. SALE IS FINAL: I witnessed that the Seller(s) acknowledged to the Buyer that the Seller(s) understands that by signing The Agreement, the Seller(s) has agreed to sell The Property to Buyer and is now bound by the terms and conditions described in The Agreement.
I further witnessed that the Seller(s) appeared to understand that by signing The Agreement, the Seller(s) has agreed to sell The Property to Buyer and is now bound by the terms and conditions described in The Agreement.
______ 7. NOT A LOAN: I witnessed that the Seller(s) acknowledged to the Buyer that the Seller(s) completely understand that The Agreement the Seller(s) has signed is for the outright sale of The Property and that it absolutely is not intended to be a loan of any kind.
I further witnessed that the Seller(s) appeared to understand that The Agreement the Seller(s) has signed is for the outright sale of The Property and that it absolutely is not intended to be a loan of any kind.
______ 8. BUYER ENTITLED TO MAKE A PROFIT: I witnessed that the Seller(s) acknowledged to the Buyer that the Buyer may resell The Property and may realize a profit in doing so. I witnessed the Seller(s) agree that Buyer is entitled to any profit that may ultimately result in the subsequent resale of The Property.
I further witnessed that the Seller agreed that the Buyer was entitled to make a profit.
______ 9. LEGAL COUNSEL ADVISED: I witnessed that the Seller(s) acknowledged to the Buyer that Buyer has advised the Seller(s) to seek independent legal counsel to review The Agreement.
I further witnessed that the Seller was advised to seek independent legal counsel.
______ 10. FINANCIAL REVIEW ADVISED: I witnessed that the Seller(s) acknowledged to the Buyer that Buyer has advised the Seller(s) to seek an independent financial advisor to review The Agreement.
I further witnessed that the Seller was advised to seek independent financial advice.
______ 11. FAIRLY NEGOTIATED AGREEMENT: I witnessed that the Seller(s) acknowledged to the Buyer that the Seller(s) understands the Buyer negotiated on his own behalf and likewise, the Seller(s) negotiated on the Seller’s own behalf. I witnessed that the Seller(s) acknowledged to the Buyer that The Agreement was negotiated fairly and the Buyer did not take advantage of the Seller(s) or the Seller’s (my) current situation.
I further witnessed that the Seller appeared to understand that the Buyer negotiated on his own behalf and likewise, the Seller(s) negotiated on the Seller(s) own behalf. I further witnessed that The Agreement was negotiated fairly and the Buyer did not appear to take advantage of the Seller(s) or the Seller’s current situation.
______ 12. NO PRECLUDING AILMENTS: I witnessed that the Seller(s) acknowledged to the Buyer that the Seller(s) has no physical, mental or emotional ailments that preclude the Seller(s) from signing The Agreement.
I further witnessed that the Seller(s) displayed no signs of any such ailments.
______ 13. NOT UNDER THE INFLUENCE: I witnessed that the Seller(s) acknowledged to the Buyer that the Seller(s) is not now under the influence of alcohol or any other mind-altering substance, nor is the Seller(s) taking medication that would cloud the Seller(s) judgment or make the Seller(s) unable to think clearly.
I further witnessed that the Seller(s) did not appear to be under the influence of alcohol or any other mind-altering substance.
______ 14. NO OTHER PROMISES: I witnessed that the Seller(s) acknowledged to the Buyer that the Seller(s) has not been promised anything other than what is described in The Agreement. The Seller(s) further acknowledged that there are no unresolved issues, no “side agreements,” nor are there other terms not disclosed in The Agreement.
I further witnessed that no other promises were made to the Seller(s).
______ 15. FULLY SATISFIED WITH AGREEMENT: I witnessed that the Seller(s) acknowledged to the Buyer that the Seller(s) was fully satisfied with all terms and conditions in The Agreement.
I further witnessed that the Seller(s) appeared to be fully satisfied with all terms and conditions contained in The Agreement.
Dated this _____ day of _____________________, 20____.
________________________
Witness
My contract is 21 pages for a reason and that is to protect my interests
A 21 pg contract, thats awsome. Sellers must get fed up with reading the whole thing and just sign it, lol. With the quantity of houses you do you definetly need that. Do you use that along with video taping or do you use that instead and not use the camcorder at all?
no cam corder... just have them sign their life away...
Keep in mind everything we do is to the letter of the law...
We don’t force sellers to sell their house but once they agree we hold them accountable.
We gotten to the point of memorializing our contracts with a letter from our attorney to the sellers just to let them know in advance that we are real.
Just a thought ... police video tape drunk drivers at the scene and in the cell. When you are on the jury, all the evidence and he said she said means nothing when you see them stumbling and slurring on the tape.
lol, i think it makes most sense that people use whatever they want to use and who really cares. I use a one page cya form from kallers course. I like it, it its strait forward and says that "i will make money off this transaction" and a lot more ofcourse. It doesnt really matter what you use as long as you feel you are protected. nothing is wrong and nothing is right.
P.S. if you are going to use a video camera make sure its a hidden on in your glasses.
There are several forms you will want to use.... Although a basic contract in most cases is sufficient I believe the more paperwork the more protection...
I would contact your local title company for the Warranty Deed.
As for due diligence.... I would also include the gathering of seller disclosures and a Property Insurance Investigation.
if you need the contract let me know I would be happy to send it to you...
[addsig]
Well I guess with that advice no more on the hood of the car or Taco Bell closings.
Darn I am going to miss all the fun I have been having for years doing it my way without problems.
Go to a tilte company and tell them you are selling your own house, not Subject To or you will be there all day. Then you will have the paperwork you need.
I Suggest you get a book or two on the topic as it would cover in better detail from start to finish how it works, I havent tried it but ive read in the forums that John Lockes course is great.
But the jist of it is you find a motivated seller whos loan you can assume. (Subject to= subject to existing mortgage). People in preforeclosure status might me more willing than the traditional FSBO or any other seller. This way you dont have to apply for a new loan, no new closing costs, etc.
Zin we are going one step further... We are making sure they have a relative or friend at the time of signing the contract that has to sign a witness acknowledgement.
Witness Acknowledgment
I ___________________________________________________________ (Witness), on this ____ day of ______________________, 20____, was present at the signing of the Purchase and Sale Agreement dated this same date, between my ________________________________ (relationship), _____________________________________,
the Seller(s), and MY COMPANY., the buyer, for the outright purchase and sale of the real property commonly known as _____________________________________.
I further state as follows:
______ 1. ACCEPTABLE: I witnessed that the Seller(s) acknowledged to the Buyer that the Seller was not pressured into signing The Agreement and that the Seller accepted the Buyer’s offer to purchase the property of the Seller(s) own free will without any undue force or duress.
I further witnessed that the Seller was not pressured into signing and that the Seller accepted the Buyer’s offer to purchase the property of the Seller’s own free will without any undue force or duress.
______ 2. GOOD AND VALUABLE CONSIDERATION: I witnessed that the Seller(s) acknowledged to the Buyer that the Seller received good and valuable consideration in signing The Agreement in the form of cash or a check of not less than One Hundred and 00/00 Dollars ($100.00).
I further witnessed that the Seller(s) received good and valuable consideration in signing The Agreement in the form of cash or a check of not less than One Hundred and 00/00 Dollars ($100.00).
______ 3. IN SELLER’S BEST INTEREST: I witnessed that the Seller(s) acknowledged to the Buyer the Seller’s satisfaction with The Agreement and the terms contained therein and did agree to sell The Property, acknowledging it to be in the Seller’s best interest to do so.
I further witnessed that the Seller(s) appeared to be satisfied with The Agreement and the terms contained therein and did agree to sell The Property, acknowledging it to be in the Seller’s best interest to do so.
______ 4. FULLY INFORMED AND NOT CONFUSED: I witnessed that the Seller(s) acknowledged to the Buyer that the Seller signed The Agreement being fully informed and with sufficient understanding of all terms and conditions contained therein and that the Seller(s) read The Agreement thoroughly and did not appear to be confused about any aspect of The Agreement.
I further witnessed that the Seller(s) signed The Agreement being fully informed and with sufficient understanding of all terms and conditions contained therein and that the Seller(s) read the agreement thoroughly and did not appear to be confused about any aspect of The Agreement.
______ 5. SATISFIED WITH THE SALES PRICE: I witnessed that the Seller(s) acknowledged to the Buyer that the Seller(s) may be selling The Property for less than market value but chose to do so because circumstances dictate that an immediate sale, even at a discounted price, is in the Seller’s best interest. I witnessed that the Seller(s) has acknowledged to the Buyer the Seller’s complete satisfaction with the sales price negotiated.
I further witnessed that the Seller(s) agreed to sell The Property for less than market value. I further witnessed what appeared to be the Seller(s) complete satisfaction with the sales price negotiated.
______ 6. SALE IS FINAL: I witnessed that the Seller(s) acknowledged to the Buyer that the Seller(s) understands that by signing The Agreement, the Seller(s) has agreed to sell The Property to Buyer and is now bound by the terms and conditions described in The Agreement.
I further witnessed that the Seller(s) appeared to understand that by signing The Agreement, the Seller(s) has agreed to sell The Property to Buyer and is now bound by the terms and conditions described in The Agreement.
______ 7. NOT A LOAN: I witnessed that the Seller(s) acknowledged to the Buyer that the Seller(s) completely understand that The Agreement the Seller(s) has signed is for the outright sale of The Property and that it absolutely is not intended to be a loan of any kind.
I further witnessed that the Seller(s) appeared to understand that The Agreement the Seller(s) has signed is for the outright sale of The Property and that it absolutely is not intended to be a loan of any kind.
______ 8. BUYER ENTITLED TO MAKE A PROFIT: I witnessed that the Seller(s) acknowledged to the Buyer that the Buyer may resell The Property and may realize a profit in doing so. I witnessed the Seller(s) agree that Buyer is entitled to any profit that may ultimately result in the subsequent resale of The Property.
I further witnessed that the Seller agreed that the Buyer was entitled to make a profit.
______ 9. LEGAL COUNSEL ADVISED: I witnessed that the Seller(s) acknowledged to the Buyer that Buyer has advised the Seller(s) to seek independent legal counsel to review The Agreement.
I further witnessed that the Seller was advised to seek independent legal counsel.
______ 10. FINANCIAL REVIEW ADVISED: I witnessed that the Seller(s) acknowledged to the Buyer that Buyer has advised the Seller(s) to seek an independent financial advisor to review The Agreement.
I further witnessed that the Seller was advised to seek independent financial advice.
______ 11. FAIRLY NEGOTIATED AGREEMENT: I witnessed that the Seller(s) acknowledged to the Buyer that the Seller(s) understands the Buyer negotiated on his own behalf and likewise, the Seller(s) negotiated on the Seller’s own behalf. I witnessed that the Seller(s) acknowledged to the Buyer that The Agreement was negotiated fairly and the Buyer did not take advantage of the Seller(s) or the Seller’s (my) current situation.
I further witnessed that the Seller appeared to understand that the Buyer negotiated on his own behalf and likewise, the Seller(s) negotiated on the Seller(s) own behalf. I further witnessed that The Agreement was negotiated fairly and the Buyer did not appear to take advantage of the Seller(s) or the Seller’s current situation.
______ 12. NO PRECLUDING AILMENTS: I witnessed that the Seller(s) acknowledged to the Buyer that the Seller(s) has no physical, mental or emotional ailments that preclude the Seller(s) from signing The Agreement.
I further witnessed that the Seller(s) displayed no signs of any such ailments.
______ 13. NOT UNDER THE INFLUENCE: I witnessed that the Seller(s) acknowledged to the Buyer that the Seller(s) is not now under the influence of alcohol or any other mind-altering substance, nor is the Seller(s) taking medication that would cloud the Seller(s) judgment or make the Seller(s) unable to think clearly.
I further witnessed that the Seller(s) did not appear to be under the influence of alcohol or any other mind-altering substance.
______ 14. NO OTHER PROMISES: I witnessed that the Seller(s) acknowledged to the Buyer that the Seller(s) has not been promised anything other than what is described in The Agreement. The Seller(s) further acknowledged that there are no unresolved issues, no “side agreements,” nor are there other terms not disclosed in The Agreement.
I further witnessed that no other promises were made to the Seller(s).
______ 15. FULLY SATISFIED WITH AGREEMENT: I witnessed that the Seller(s) acknowledged to the Buyer that the Seller(s) was fully satisfied with all terms and conditions in The Agreement.
I further witnessed that the Seller(s) appeared to be fully satisfied with all terms and conditions contained in The Agreement.
Dated this _____ day of _____________________, 20____.
________________________
Witness
My contract is 21 pages for a reason and that is to protect my interests
[ Edited by IBuyHousesInc on Date 10/18/2005 ]
A 21 pg contract, thats awsome. Sellers must get fed up with reading the whole thing and just sign it, lol. With the quantity of houses you do you definetly need that. Do you use that along with video taping or do you use that instead and not use the camcorder at all?
no cam corder... just have them sign their life away...
Keep in mind everything we do is to the letter of the law...
We don’t force sellers to sell their house but once they agree we hold them accountable.
We gotten to the point of memorializing our contracts with a letter from our attorney to the sellers just to let them know in advance that we are real.
[ Edited by IBuyHousesInc on Date 10/20/2005 ]
I think it is all about a lot of weak investors who cant ask for the close...
And the close does include all of the documents you want the seller to sign or as stated " Move on"
Just a thought ... police video tape drunk drivers at the scene and in the cell. When you are on the jury, all the evidence and he said she said means nothing when you see them stumbling and slurring on the tape.
Brenda
Brenda,
Next time you are drunk and buy a house make sure you video tape it so it will hold up in court should anything happen.
Remember "Big Brother" is watching.
John $Cash$ Locke
[addsig]
lol, i think it makes most sense that people use whatever they want to use and who really cares. I use a one page cya form from kallers course. I like it, it its strait forward and says that "i will make money off this transaction" and a lot more ofcourse. It doesnt really matter what you use as long as you feel you are protected. nothing is wrong and nothing is right.
P.S. if you are going to use a video camera make sure its a hidden on in your glasses.
You can get state specific forms on www.uslegalforms.com.
There are several forms you will want to use.... Although a basic contract in most cases is sufficient I believe the more paperwork the more protection...
I would contact your local title company for the Warranty Deed.
As for due diligence.... I would also include the gathering of seller disclosures and a Property Insurance Investigation.
if you need the contract let me know I would be happy to send it to you...
[addsig]
I would like to second the comment about going through a title/escrow company. Kitchen Table closings are not worth the potential risk IMO.
shasta9254.
Glad to mee you.
Well I guess with that advice no more on the hood of the car or Taco Bell closings.
Darn I am going to miss all the fun I have been having for years doing it my way without problems.
Go to a tilte company and tell them you are selling your own house, not Subject To or you will be there all day. Then you will have the paperwork you need.
John $Cash$ Locke
[addsig]
Now I have heard everything...... Maybe you should write a book....wait you have and I have read it. Thanks for the laugh needed one today.....
J