PURCHASE CONTRACT
Click here for Top Ten Discussions. CLICK HERE for Q & A Homepage
Receive Free Rental Owner Updates Email:  
MrLandlord Q & A
     
     
PURCHASE CONTRACT (by EJ [GA]) May 21, 2019 1:35 PM
       PURCHASE CONTRACT (by Ken [NY]) May 21, 2019 1:48 PM
       PURCHASE CONTRACT (by Jim In O C [CA]) May 21, 2019 1:53 PM
       PURCHASE CONTRACT (by Robert J [CA]) May 21, 2019 2:27 PM
       PURCHASE CONTRACT (by EJ [GA]) May 21, 2019 2:34 PM
       PURCHASE CONTRACT (by myob [GA]) May 21, 2019 3:45 PM
       PURCHASE CONTRACT (by don [PA]) May 22, 2019 1:47 AM
       PURCHASE CONTRACT (by EJ [GA]) May 22, 2019 3:29 AM

Click here to reply to this discussion.
Click Here to send this discussion to a friend

PURCHASE CONTRACT (by EJ [GA]) Posted on: May 21, 2019 1:35 PM
Message:

Got a purchase contract to sign for one of our properties and need some unbiased opinion on a some of clauses. First, buyer proposed paying earnest money deposit 5 days after signing of contract and asks for 5 days due diligence. Asks for 30 day closing and has clause allowing showing the property during that 30 days. I've got several issues/reservations with these and will appreciate some input.

--99.23.xxx.xxx




PURCHASE CONTRACT (by Ken [NY]) Posted on: May 21, 2019 1:48 PM
Message:

This is a wholesaler,most likely he will waste your time.He is going to try to sell the contract and have someone else close and if he cant he will string you along still trying to sell it until you finally say no go away.When I get this type buyer I just tell them $5000 non refundable down payment,30 days closing time is of the essense which means it must close in 30 days or it is over right then.Also ask for a proof of funds letter which he probably cant produce.Noone goes in the house till you have the non refundable deposit --72.231.xxx.xxx




PURCHASE CONTRACT (by Jim In O C [CA]) Posted on: May 21, 2019 1:53 PM
Message:

Been there done that. Totally agree with Ken. Thanks but no thanks. --178.17.x.xxx




PURCHASE CONTRACT (by Robert J [CA]) Posted on: May 21, 2019 2:27 PM
Message:

I like to flush them out of the woodwork! What I ask for if someone want's to waste my time and put a "hold" on my selling the property to someone else is:

a) A 1% Deposit

b) Short due diligence period to examine records and conduct an inspection of the property ( all units ), by a licensed professional. Period no longer than 10 days.

c) Have the buyer obtain their appraisal for lender.

After the 10 day due diligence period, the "Deposit" becomes NON-Refundable -- they have to sign a release or the property fall out of contract and I can except other offers.

Countless times I had Want-A-Be Investors claim they have the funds, credit and experience to close a deal. 10 Days later they had no confidence and backed out of the deal....I still accepted back up offers.... --47.156.xx.xx




PURCHASE CONTRACT (by EJ [GA]) Posted on: May 21, 2019 2:34 PM
Message:

Thanks. Been there, done that, too. Since they sent proof of funds (questionable) thought it might be legit, but instinct wins out. Will suggest they do their 5 day due diligence and then come back to me with the non-refundable earnest money deposit if they want to proceed. They've already done a walk-through and took pictures/video - not much left in due diligence. I figure, they'll either go ahead with it or go away. If they proceed, will ask to be added as an additional insured to their liability policy to avoid liability from their showings. Any other suggestions? --99.23.xxx.xxx




PURCHASE CONTRACT (by myob [GA]) Posted on: May 21, 2019 3:45 PM
Message:

24 hours to sign contract at which time ernest funds are due. In this case no due diligence needed. Also no "AND / OR ASSIGNEE. Contract is non-assignable. 30 days to close. Period end of story-- except purchaser won't do it. It's not about buying from you - it's shopping the contract and "OUTS" for the purchaser. --99.103.xxx.xxx




PURCHASE CONTRACT (by don [PA]) Posted on: May 22, 2019 1:47 AM
Message:

I don't have a problem with the contract being assignable; an assignee's money is the same color as the original buyer's. The problem is that these guys' offers usually have small deposits and liquidated damages clauses limiting damages to loss of the deposit. Then, if they can't find an assignee, they walk away. Big deposit, no liq.damage clause! --73.141.xxx.xx




PURCHASE CONTRACT (by EJ [GA]) Posted on: May 22, 2019 3:29 AM
Message:

Thanks all for the input. Will offer them an alternate purchase scenario. They decide to move forward or go away. I'm good with either outcome. --99.23.xxx.xxx



Click Here to send this discussion to a friend
Report discussion to Webmaster


Reply:
Subject: RE: PURCHASE CONTRACT
Your Name:
Your State:

Message:
PURCHASE CONTRACT
Would you like to be notified via email when somebody replies to this thread?
If so, you must include your valid email address here. Do not add your address more than once per thread/subject. By entering your email address here, you agree to receive notification from Mrlandlord.com every time anyone replies to "this" thread. You will receive response notifications for up to one week following the original post. Your email address will not be visible to readers.
Email Address: