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What do you want to know? What is the context? Most "flip" deals I've seen involve some entitlement component or the seller is in an older option contract
Goes without saying but be careful with buyer identification and assignment language in the PSA
Why not do the deal yourself if it's so cheap? Also what's 25% on? The list price?
You should probably be talking to an attorney about how to properly negotiate the PSA, if flipping the contract is your intent, not a finance-oriented message board.
This was a more common practice back 15+ years ago. It's going on now but not that often from what I see in brokerage. All my contracts have assignee language for entity ownership creation (John Smith and/or assignee). Rarely does the listing broker create language restricting the assignee clause to the original buyer . The top brokers always create language that provides the contract buyer an assignee clause only to an entity that the buyer is owner/manager of.
I have a contract getting signed to day on a small apartment building. I received no counter from the listing agent regarding my clients assignee clause. My buyer could assign the deal to anyone.
yeah i would agree w the above. even if it just means paying 100 bucks to some shady strip mall attorney to glance at your language before you execute. it would suck if you failed to tie up the deal properly and the seller realized how low his price was and decided to re-market the deal to the world @ a much higher price.
Can someone explain to me what contract flipping is, and what exactly he is trying to do?
Getting into a purchase contract on a building, then basically selling it off.
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