This is Nathan Payne. Welcome back, and today we’re going to be talking about how to fill out a real estate contract. And the reason why this is important for you guys is because if you have a deal and you want to work with a seller, you’re going to need to fill out a contract.
You by the end of this video, you’re gonna know exactly, step by step, how to take a seller through a real estate contract, where you get one, how to do it. I mean, stay tuned.
There’s gonna be some awesome stuff involved.
Today. We’re gonna learn what is a real estate purchase contract, or what a lot of people call rep C. Also, why are contracts even important?
Why do you even need a contract to sign with a seller to buy their house? Are contracts even legit? Are they binding, or can someone bail on it? Also, how do you use one and when do you use a contract?
So let’s dive right in. Everybody a rep c, what is a rep C, well, I mean, it’s pretty simple. It’s a real estate purchase contract, real estate purchase contract, real estate purchase agreement, whatever you want to call it, all it is, is an agreement between you and the seller that you’re going to buy their house. Now there’s lots of different real estate purchase contracts.
There’s ones that are from the state. There’s ones that attorneys can draft you up. The one that I use is the one that an attorney drafted up. And over the years, we’ve modified it. We’ve updated it so we can put in other clauses that protect us, protect the seller, that just make it ironclad and better.
But a real estate purchase contract, simply put, is just a way for you to sign agreement with a seller so you can buy their house and so there’s an agreement in place. Real estate purchase contracts are important because it’s the way that you move a deal forward.
If you talk to a seller for a year and just keep talking, hey, I’d like to buy your house. I’d like to make an offer. Nothing signed. There’s, I mean, you’re wasting your time.
The goal is to get a contract signed with a seller so you can move forward, take that contract to the title company or an attorney, if you’re in an attorney state, and move the transaction forward, you know, and honestly, having a contract signed, or even putting that in front of a seller, it’s going to let you know if they’re serious or not.
Like, you know, I’ve dealt with a lot of sellers where I’m talking to them, and then I finally bring up the contract, and they start making a bunch of excuses. And then you find out, okay, are you really the decision maker? Can you sign this agreement? Do you even own this house?
There’s a lot of important things that you know, you’re able to find out. Once you find out, you bring up the contract and if they’re ready to sign. So are contracts legally binding, or is it just a piece of paper that doesn’t mean anything? So a contract, if you sign a contract with the seller, is legally binding.
They are agreeing to sell their house to you. And according to the contract that I have it states like, Hey, you are entering into this agreement. You are agreeing to sell this house.
If you try to back out, or if you don’t fulfill I have the right to file a notice of interest on the property, affidavit, memorandum, and enforce my right to purchase the property, because we this is what we’re agreeing on, and sellers sign that willingly.
They know what they’re entering into. So a contract is legally binding. Now let’s kind of talk about that. Does that mean that you can force them to sell if they sign? Well, I mean, if you take it to court, maybe if they try to back out and they ghost you and never see them again, you can try and take that to court, but most judges aren’t going to force someone to sell their house if they signed a contract.
But what you can do is you can put a lien or notice of interest on the property. So if they try to sell to someone else, you can be there. And that’s kind of what we do in our business, is if someone agrees to sell us the house, and they try to back out of the legally binding contract, I’m not going to take them to court.
I’m just going to say, hey, look, that’s fine if you don’t want to sell it to me right now you agreed to.
So I’m going to file notice on your property, and when you do sell, I will be there because all the title companies, or good title companies, will find your notice on the property, and they won’t, they won’t mess with that, because they don’t want to get into the weeds and the problems of a contract like that.
So it is legally binding. Can you force someone to sell? No, even if they sign. But there are ways for you to kind of control and show that you have the rights to buy it.
So before I move on to the next points, I want to let you guys know that if you’re struggling to know how to fill out a real estate contract, I have a gift for you that’s going to change your lives.
I have a video inside my painless wholesaling mind map that you can get it literally. I walk you through step by step, show my screen how to fill out my real estate contract. And as a gift to you, I give you my real estate purchase contract.
I’m not an attorney, I’m not a CPA. I’m not giving you any legal advice. But if you want to use my contract, go ahead and if something happens, I’m not liable. I mean, because I have no idea how you’re using it, but I will give you that information for free.
Go check it out. Go to my mind map.
So when do you use a real estate purchase contract? When do you even present the idea that you need to sign an agreement? Well, for me, I try to do it on the first call with a seller.
When I’m talking to them, I say, hey, look, the reason I’m calling you is to ask just to buy your house.
I mean that I either got your information from pay per click, I got your information from a postcard or.
