Posted by Richard on November 12, 1998 at 15:09:53:
Seller can probably go to a realtor, list it and pay his commission for about the same deal as I could offer
if he will not do a contract.
Do you agree?
No Contract Sale - Posted by Richard
Posted by Richard on November 11, 1998 at 17:47:49:
What approach should be used when a FSBO says “no long term contract and no assignments?”
Assume seller needs equity out fast to cover a down payment for a different house and is motivated to eliminate current monthly paymt.
Re: No Contract Sale - Posted by Bill Gatten
Posted by Bill Gatten on November 13, 1998 at 21:09:10:
What these guys generally don’t realize is that if they go to a traditional sale, they’ll have to sell for 5-10% less, pay 7.5% in selling costs, and be subject to income tax on their gain and any refi’s they may have taken out since buying the property (deferment privileges not withstanding). They’ll generally end up holding the sack (comparitively speaking).
Assuming he has the equity for it, why not suggest that he refi for the maximum amount before transfering it to you, and collecting the remainder of his equity when you dispose of the property.
Just my 2centsworth.
Bill
PS, notice I didn’t say “land trust” once (whoops! I guess I just did).
Re: No Contract Sale - Posted by PBoone
Posted by PBoone on November 11, 1998 at 18:48:35:
Sounds like an unmotivated seller the kind we do not call.
Pat
Re: No Contract Sale - Posted by Richard
Posted by Richard on November 11, 1998 at 19:04:26:
Seller is motivated but does not know it yet. Current situation describes a motivated seller to me. (Two payments and a borrowed down). Am I wrong?
Basically does not want name on the property while it is under contract - hence — no contract.
Re: Is there a choice? - Posted by Irwin
Posted by Irwin on November 11, 1998 at 21:14:21:
What sellers want and what sellers get sometimes are two different things. Does the seller have the luxury to be able to dictate terms, or is he going to have to make the best deal he can in order to be able to stop making double mortgage payments?