The Real Estate Assignment Of Contract Download & Guide

In this section, we’ll be going through the contract line by line with simple explanations so that you come out of this section with a good grasp of how the contract works so that you can effectively put it to use in your business.

Buckle up, pay close attention, and let’s dive into the details of the Assignment Of Contract.

In this lesson, we’ll go through the contract files that are downloadable as part of this course. There is a PDF file and also an ODT file.

The PDF is the one that I call the “working copy”. It’s the one you’ll use to print, email, or otherwise use to get business done.

The ODT file is the one that you can personalize, edit, export, and modify. It’s the one you can use to make any changes you need in order to make the document your own.

Remember, your downloads are available in the final lesson of this course.

Another important thing to remember is that I am using a Macbook Pro computer running Open Office during these videos. If you’re on a different machine, your screen is going to look different, but the general functionality should be very similar.

The assignment contract is generally used when wholesaling real estate. In this case you would put a piece of property under contract using a purchase & sale agreement, market the property for sale to your list of cash buyers, then transfer your interest in the property to the new buyer by means of the assignment contract.

Now, since the assignment contract is primarily used when wholesaling, I’ll answer a question a lot of people have about wholesaling - and that is when to assign and when to double close. In other words - when should a person assign a contract to another buyer using an assignment and a single closing - and when should a person choose to close with a double closing, using 2 different Purchase & Sale Agreements?

Here’s the thing -

There’s no special rule regarding this choice. It’s a choice that comes down to what feels right when considering a lot of different factors. Your local market, how well you know the buyer, how much profit you stand to make, etc. For my own uses, generally I tend to assign when my profit is $5000 or less. When my profit margin is higher than that, I’ll start considering whether a double closing might make more sense. When assigning, your fee is public knowledge to anyone else involved - so you want to be sure nobody is going to get upset when they see what you're making. I know this really shouldn’t be a problem, but it can be. When double closing, nobody will know your margins, because the money you make is the difference between the BUYING PRICE of closing #1 and the SELLING PRICE of closing #2. In other words if you bought a house for 100k on the first closing and sold it for 120k on the second closing, your profit will be $20k - and nobody involved in either transaction will be aware of this. The trouble is that double closings can be a bit more of a hassle to facilitate, there are more things happening at once that you have to manage, plus there are added costs to consider since 2 separate closings will have to be paid for.

I know that’s not a very direct answer so I’ll simplify it by reiterating what I personally do. When I stand to make $5000 or less on a wholesale deal, I’ll assign it. When I stand to make $5000 or more, I’ll double close it. You may certainly choose to operate differently, but that’s what I personally do.

The Assignment Contract is a valuable contract to have at your disposal, and it’s one that has helped me make money in over 300 Real Estate deals thus far. It’s been a very handy contract to have, and I know you’ll get a ton of value putting it to work in your own business.

From here there’s only 1 more lesson left, but it’s one that you definitely don’t want to miss!

YOUR CONTRACT DOWNLOADS:

Within this bonus lecture, you'll find both a PDF and ODT version of the contract.

Go ahead and download them to your computer, personalize them as you see fit, and start putting them to use.

SPECIAL BONUS:

Download your free copy of my Repair Estimate worksheet! This is a very handy for that you can use to help accurately size up repair estimates, which will ultimately result in getting more offers accepted.

EXTRA SPECIAL BONUS:

I'd like to extend an invitation for you to download a complete set of my own personal Real Estate contracts. This set of contracts has been painstakingly developed over the last 15 years of active use. They've been scrutinized at a cost of over $10,000 by multiple Real Estate attorneys. All together this contracts package puts you in. a position to profit from a WIDE range of investment opportunities such as rentals, flips, and wholesale deals.

Download the complete set for just $7 by visiting my website ContractsFor7.com.