Contracts
Ok, this is not a question I expected to be asking, but sometimes ya gotta do what ya gotta do...
Say I'm with "Joe seller" on a property, the deal is way better than I could have asked for, and he's ready to sign. Now I reach in my truck for a contract, I write in our names, the amount of earnest money, days I have to close, etc etc and we both sign and date.
Sounds like thats how it's supposed to go right? I think so too, but should I have a contract already pre-written up? Maybe not with price or terms, but at least with both of our names on it, typed in the contract? Can I write in with pen, amount for sale, days to close, etc?
Now after we both sign and date and agree, do I have to get it notarized so that the contract is binding? Or in the earnest money (monetary consideration) held in escrow by my attorney enough to make the contract legal and binding?
I was planning, on just using regualr computer paper to rpint my contracts out on...I dont see anything wrong with that, but if there is...by all means stop me before it's too late!!
Alright I've rambled on long enough, I seem to get the difficult things down easier than the common sense information...but I'm learnign not to make this into "rocket science" .
JB
Don't mean to post the 1st reply to my own post, but if I type up contracts like I type on this website....I'm going to have problems...
[addsig]
Don't know how things work in FL, but if you were in PA, you could hand write a contract on toilet paper, get 2 signatures and you're good to go. Signed, dated and legible--not pretty-- is what counts. Doesn't need to be notarized here--FL ? Make sure you give the seller one signed copy. That's essential in PA.
Agents here often fill in the blanks in printed contract forms by hand.
I would first agrre to price and terms and then head back to your office and prepare a contract just to ensure all contingencies are in place to protect your position. Reacting hastily to a good deal could mean a serious screw job if all your bases aren't covered.
I thought about that too. Maybe I should have a few copies of contracts with different contingencies. I have heard that once you get the seller motivated about selling and you he's agreeing to a price with you, that you don't want to give him too much time to change his mind (i.e. call his brother, mom, neighbor three doors down and tll him he's getting ripped off) only for the wholesaler (me) to come back happy as day with my contract and have a disgruntled seller who is no longer motivated.
Whew, I'm sure thats a lot of my imagination talking there, and is more of a wholesaling nightmare, than reality. You're probably right, I want to be dealing with motivated sellers and they're looking for a way out. "I'm here to help" and after we negotiate a price, they'll probably be happy and too busy thinking about the great deal that just "saved there life", "gives them a 2nd chance", "is going to help them out so much", "is going to finally get rid of that vacant property they keep paying taxes on every year, that they thought no one would ever consider buying", that they'll have penj in hand when you return with the contract.
Thanks for the advice, you're definately right about wanting to make sure you don't kick yourself over a simple line in the contract that could have ensured a check at closing or gaurded you from ending up settling something in the courthouse.
But just in case I come along something that is truly great and I don't want to take any chances...I might have a few ready made contracts standing by.
JB
[addsig]
You can get the first one signed there that gives you a legal binding contract. You can always use an addendum down the road for other issues.
Lori
This way you don't lose that SUPER deal while you are in your office typing.
[addsig]