Quick Flip
I have a property that I am able to establish a deal on. The seller has agreed to let me buy the house and resale the house. I am not in a position to purchase the house outright. I have a buyer now lined up whom has qualified for a loan and is approved. They want to buy the house right now. How can I effectively get the buyer and seller together, get the seller to pay me the overage on what they agreed to pay me and not have to be caught up in the middle? Would it be better to try and get a hard money lender or someone to partner with me for say $5K and I get the proceeds or is that unlikely if the proceeds are in excess of $30K? I need some real help. 
you are going to have to stay in the middle if you want your piece.
Some on here might suggest you do a double close. You buy the property from the sellor, then turn around and sell it to the buyor before any other paperwork is filed. Do a search on the double close for more info.
I haven't done it yet but have read a few posts on it.
The other way is to have the sellor agree to giving you a commission for selling it for him.
Best,
Ryno
My advice would be to have the seller sign a purchase agreement with you for the amount you agreed upon. Then assign your purchase agreement to your buyer for the difference of what you are paying for the house and what your buyer is paying you for it. Submit all the info to the title company, and go to closing and get your check.
Assignment is the way to go on this one. In fact, this would be concidered best case scenario for an assignment.
Good luck.
yes try and sell your contract..doing a simultanious can be done but make extra sure your buyer comes through with the funds..or, buy outright then retail to your buyer, however, you have seasoning issues..also, getting a commission for brokering the deal with-out a licence or a beneficial interest i think is a no-no..oh well, good luck
regards-pat
[ Edited by patricc68 on Date 12/04/2003 ][ Edited by patricc68 on Date 12/04/2003 ]
Trying to get a commission is a definate no-no. You must be a licenced realtor to do somthing like that, you may find your self in deep, hot water by doing that.
[addsig]
Don't call it a commission call it an assignment fee or finders fee
This appears to be an ideal situation for a purchase option wherein you would acquire only an option to purchase the property for the price you've negotiated with the seller and get an assignment fee from the buyer for the difference. This would avoid title seasoning issues and, as far as I know, is perfectly legal in NC.
dapperotp,
The best advice would be to speak with your closing attorney and find out which way they think would be best for you to do it.
A double closing, in NC at least, requires that you, the buyer in the 1st closing, have seperate funds to close your deal. You can't use the funds from the 2nd closing as your own. Now these funds could be owner financing, lawyer (private) financing, cash or conventional, but something has to be in place.
Unless your a real estate agent, a commission is a definite no-no, as already pointed out.
A purchase contract assignment may cancel your buyer's funding as more and more lenders will not loan money against a property with an assigned contract. Protecting their own interest here.
Locksmith's suggestion to get an option and assign the option may be the best idea mentioned. You still get your fee, as an upfront option assignment, but you won't be in the purchasing contract at all, since it is not written up until the end buyer exercises the option to purchase.
Roger
Whats to keep the buyer from circumventing the investor and buying direct from the seller or bank?