Flipping a House ImageFor an investor, buying a house is a way to make some quick cash. Usually, they have buyers lined up to purchase the various properties and are only looking to make a quick profit.

However, what if the seller does not agree to let you assign the property to a third party?

This is becoming more common in the real estate world, but if the current homeowner doesn’t understand the process, they may not be so willing to allow it.

Reassigning the Property

In order to explain the process fully to them, you should have language written into the contract before hand. The law states that the seller must be reasonable as long as the financial obligations are being met.

The contract needs to read that the property can be assigned without any consent from the seller. If they do require some notification, this can be negotiated between the two parties.

However, once the home buyer agrees to pay the stated price and has taken possession of the property, this should no longer be a concern.

Time Limits for Due Diligence

If you expect delays in the process of getting your due diligence completed, make sure you state this ahead of time. Insert a contingency if you need more time to get everything done. As long as this is negotiated between seller and buyer, your deposit will not “go hard” and you won’t waive any rights. Make sure you specify that all the documents be turned in to the seller before the time period starts.

Becoming a real estate investor can create a lot of opportunities, but you need to be aware of the obstacles that can arise. As long as you’re prepared for them, your real estate deals with go much smoother. They will also be more profitable and you’ll learn more as time goes by.

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This is filed under Real Estate Investors.

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