Posted by Tim (CT) on June 10, 2002 at 10:57:19:
Thanks for the reply. One last question (and, maybe I’m taking your statement too literally): You state that in ‘additional provisions’ I can write in ‘“seller has paid $x to bind this agreement, seller shall pay $x at closing.” Any other additional info can be inserted there as well.’ I don’t see this in the 3-page Real Estate Purchase Agreement. Is this part of an addendum that I would create? I just don’t see a space for me to write this in.
Bronchicks docs-Which one do I use for subject to? - Posted by Tim (CT)
Posted by Tim (CT) on June 07, 2002 at 11:01:43:
Could somebody please explain to me why or how I can use Bronchicks ‘Contract Addendum’ form on page Appendix A-31 of his Alternative Real Estate Financing course? I’m looking to acquire a property via the ‘subject to’ technique but I’m not sure which initial sales contract to use. The ‘Contract Addendum’ has some things in there for the ‘subject to’ technique but the entire document just doesn’t fit how I’m doing the transaction. I am not paying the seller anything but there’s a section that says something about Buyers earnest money. They are paying me 2k to take over the property.
Also, when you acquring a property via this technique, should the sales contract state that this deal is considered a ‘wraparound’ deal in which I will be mirroring the sellers monthly mortgage payments?
Thanks in advance.
Re: Bronchicks docs- - Posted by Bronchick
Posted by Bronchick on June 07, 2002 at 11:41:14:
The addendum is intended to attach to a “standard” Board of Realtors’ contract. The 3-page purchase agreement in the course manual will cover everything you need. If the seller is paying YOU money, then just insert “n/a” in the earnest money place, then hand write in additional provisions “seller has paid $x to bind this agreement, seller shall pay $x at closing.” Any other additional info can be inserted there as well. This is not a wrap if you are making all payments to the bank and no additional payments to the seller.