Have you been hearing about wholesaling real estate, we have no idea what contracts you need to use. Today. In this video, we’re gonna go over exactly what contracts you need to use in order to get a deal done across the finish line. By the end of this video, I can promise you that you’re going to know exactly what contracts to use to get a contract deal done, how to get across the finish line, how to make money. So stay tuned, I’m going to give you everything you need. Additionally, on top of that, I’m not only going to tell you what contracts you need, but I’m going to tell you how the best way to get them filled out. And not only the best way to get them filled out. But the best way to work with sellers. So you can get deals done on demand nonstop additional to showing you exactly what contracts can you use, I’m going to show you the best way to get sellers to accept them over the phone so that you don’t even need to go to their house. You can do this all virtually I’m going to show you exactly how I do deals virtually without even having to go to the house. All right. So check this out, stay tuned.
So let’s dive right into it. What contracts do you need to do a real estate deal? Well, it’s pretty simple. You need a real estate purchase contract. Okay, so what is a real estate purchase contract?
Well, it’s a contract that you signed directly with the seller, the person that owns the home, saying I’m going to buy this house for a certain amount by this date with an earnest money, the property address, obviously it has a legal terms in there. So you can go in there and sign it and it’s legally binding. Now look, a contract is legally binding. If you sign it and they sign it, it’s ready to go. You send it to the title company, you put down your earnest money, your EMD that’s what they call it. Earnest money is basically just like good faith that you’re gonna buy the contract that binds you makes the contract binding. And yeah, that’s pretty much it. So real estate purchase contract rep see is a contract that you need to sign with the seller. But is that all you have to do in order to get the deal done? That is not all you need to get the deal done as a wholesaler? Yes, if you’re going to purchase the property yourself, then yes, that’s all you would need.
But if you’re going to sign it, well as a wholesaler, you need something else than just a real estate purchase contract, you need an assignment agreement. Now what is an assignment contract? Well, an assignment contract allows you to assign your contract that you just signed with the seller saying you’re gonna buy it allows you to sign it to another buyer, okay, for a fee. It’s pretty easy all does in this contract, it says that you are giving your rights to this contract and your scientist someone else for a certain fee, they call it wholesale fee, I call it an assignment fee, you can call whatever you want. But that is exactly what you need in order to get a deal done.
So once you get the rep C assigned from the seller, you assign your deal to a buyer, and you call this an assignment contract. And as soon as that’s done, you take that paper, all that paperwork to the title company, and the title company takes care of the rest. They make sure everything that title is cleaned, they’re doing a deal, they actually can go to the finish line because no one’s gonna buy a house and it’s got all these liens and issues on it. So that is exactly the paperwork that you need.
Now, another question you might have is where do I find this? Okay, we’re not filing this paperwork saying get a deal done? Well, it’s pretty simple. You can ask, you know, an attorney, attorney can draft you went up. Now that might not be actually that simple. Because you don’t want to pay any money. You can ask me, I have one that I give away for people that are in my program. There’s probably a lot that are online on free courses. I know I’ve seen quite a bit now I wouldn’t really trust using one that is just given away for free or online. Just because you don’t know if it’ll work. You definitely want to be sure the one that I use has been battle tested battle proved. And I’ve done several deals with it all over the country.
That’s where you can find them. Honestly, like I wouldn’t just go and get a random one. I’d probably go network with someone at a Ria, a real estate meetup and say, Hey, can I use your contract? See if someone will hook you up? But I would say go find someone that has one that’s legit. You don’t you have to use one from the like the state like Rep. See, I wouldn’t use one for like an agent use you want to use one like a cash buyer and assignable cash buyer contract. So yeah, that’s exactly where I would go is I network with someone at RIA or ask me and I’ll hook you up or join the club join the mentorship and, you know, obviously, everything you need is included in that now that you know exactly what a real estate purchase contract is, and what assignment contract is, and actually where you can get it. I want to tell you, what’s the best way to get a seller to sign one.
Okay, so the best way to get a seller to sign a real estate purchase contract is to walk them through the contract. I actually even when I do deals that are virtual where I’m not having never met the seller, I’ve never in person or I’ve never seen the house, when I have a contract that I send to them via email I say hey, pull up your email. Let’s read through this thing together. And let’s let’s make sure you feel comfortable and confident signing this thing and I’ll actually go through the contract not word for word but I’ll go through it and explain it and if they have any questions I’ll dive deeper into it but that’s the best way to get them to sign is over the phone. If you’re in person, obviously do this in person.
But if it’s virtually that’s how I do most of my deals, even in my own home market. I don’t really even meet up with sellers but I just have them sign it over the phone because I don’t want to do Right, but you just say, Hey, let’s go through this. If you feel comfortable at signing, that’s the best way 100% You do not just want to send a contract to a seller and just hope they sign it. That’s not the best, best way to go about it.
All right. So I want to dive a little bit deeper into what contracts are, I did kind of go over what a real estate purchase contract is, in brevity and briefly, but I want to go a little bit deeper. But before I do, I want to invite you to one of my free master classes that I’m doing this week, this Thursday at 6pm. eastern standard time at this masterclass, I actually give you my contract. I know I said I’d give it to people that sign up for my course, but actually hook you up with this real estate purchase contract for free. If you don’t have a master classes, I’m there to help I want to help you succeed. So hey, go to my master class, go to paynelesswholesaling.com. And sign up register for a master class. And we’ll hook it up, we’ll hook you up with the contract for you go there. And I know it’ll help you out. So let’s go right into what I was going to say I want to dive in a little bit deeper into what a real estate purchase contract is a little bit deeper. Like why you need one. What does it mean? Is it really that important that you have one? I’m going to answer these questions.
So this is a video that I did in the past is a little bit older, but is going to answer those questions, I want to make sure you’re versed and you understand. So when you’re doing this job, you feel confident check out this video. So if you don’t haven’t seen my mind map, my mind map that I give out for free. There’s a free and a paid version, depending on you know what resources you need out of it. But I’m just going to show you on the mind map. If you go to Step eight, that’s the step where you make offers to sellers. Here is the wholesale contract, it is assignable.
There’s one for on market, and there’s one that’s when someone has a property listed on the MLS and there’s one for off market. Here’s a video of me filling out the contract just strictly I just fill it out. But this time, I’m telling you what kind of contract it is. And then we’re going to fill it out. Okay. So if you need this agreement, the agreement that I use, it’s battle tested, battle approved. And then it’s been through people trying to cancel it and we say hey, you know, you can’t you signed an agreement. So anyway, here is where you can get the assignment contract that I use.
Again, it’s a beast, it’s got an accent, there’s a couple other contracts that are available for you to if you want to look at different ways to, you know, whatever works for you. But I have mine that I specifically like to use. So anyway, here’s the assignment contract. Pretty cool. Okay, it’s in the mindmap. And if you’re watching this video, the link to the free mind map is available. Obviously, if you want the contracts, the everything that’s available in the mind map, the mind map, the free ones shows you the processes, the systems, everything you need. But if you want my resources, you got to join the All Access Program, no problem.
So now that you guys know where to find the contract, let’s talk about what kind of contract it is. Alright, so the real estate purchase contract that I use, and what it does, guys is just it’s just drafted by an attorney. It’s nothing crazy just says we’re gonna buy the property for all cash. And I’m gonna show you what it looks like in a second. Let’s dive into what services you need to send a contract because we’re about to send this deal out and have the seller sign it. So right here, you need either DocuSign I use panda doctors, many different software’s out there, but we use panda Docs. So let’s go right into it. You just need a software where you can put your contract in here and go to town on it. So I’m going to be the buyer on this one. So you got Nathan, and then there’s one signer for the seller, the sellers name is Donald Davis. Alright, so we’re gonna put Donald Davis and he told me to email it to his wife.
So here it is. And by the way, this is a this is a mobile home that he owns the land in Tucson. And you know, he accepted the offer. He’s like, let’s freakin go. Thanks to Jay. You know, crushing it on the phone. He’s 19 years old, and he’s freaking he crushed it. You got it done. Alright, so Hey, Jay. You ready bro? Come on. Are you ready to come on here? Let’s let’s go through this contract row. You ready? All right, Jason. Hi watchin are he’s about to hop on. Yeah, I’m ready. Let’s get it bro.
So this is a real estate. This is a contract for purchase of residence where the real estate this is the one I use. You have access to it. And since you’re a Club member, and all you got to do is fill this thing out, man, it’s pretty simple. And let’s fill it out together. All right, so we got the address right here. Okay, so we’re gonna go copy and paste this bad boy in here. Property Address. Let’s see if I do this. Perfect. Okay, so that’s the address the purchase price on this piece. This mobile home is 65,000. Now our plan is to have five days of due diligence to find a buyer and if we don’t, we’re gonna go back to him and say, Hey, after science Sorry, I’m just writing due diligence deadline five days after the contract is signed.
Actually, I’m just gonna put till next Friday, just to make it easy, because he said he’d give us Friday. So nine. Let’s just do Friday. What does that 12 Nine. Okay, 12 922 due diligence deadline. And our goal again is to find a buyer if we don’t find someone j and we someone offers like 40k or 30k We’re just gonna go say hey, look, we talked to our partners, we’re ready to go but we’re going to need to be at less than what we the buyer said they’d offer Does that make sense? That’s how you like get your get your fee involved and stuff like that. Yeah. Okay cool. Cool. Cool. All right. So again, this is a normal real estate purchase contract you have the address, the price the due diligence if you have due diligence, so what he said as he owns it in an LLC with his brothers so we’re going to put the LLC there and it’s called for brother Davis brothers LLC. So we’re going to put that there so that is who we’re dealing with seller today’s date, address address purchase price terms,
this is just all legal stuff is just like talks about taxes if there’s any issues of the property theft, let us know no liens we get possession as soon as we close you know we have an inspection we have the right to inspection of the property contingency is we have the right to back out risk of loss as the House would blow if the house was up for a buyer we don’t have to buy it acceptance of contract you can put like by Sunday but I usually just say NA because if they’re going to sign or not I don’t usually put a deadline on him so earnest money I mean we try to put down as little as possible because and you can explain to the seller like hey you know we buy a lot of properties all cash so we don’t put a lot of money down just because we’re quick about it.
And if they have a problem with that then you can discuss it we would do the close date and let’s say by the end of September, man I say September and then December 3012 30. If you have any questions let me know but right here says buyer agrees to purchase property in as his condition subject to appraisal if you want to get one buyer pays all closing costs buyer may assign or transfer the rights to the buyers property. So that is your assignment clause. It just says we can assign it in the event that the buyer defaults, you get our earnest money, the seller agrees by signing this that he can go sell someone else Time is of the essence to close the deal. This allows us to market the contract on the MLS if we want to we’re telling them that we do that if we need to buyer disclosures that’s to protect us so they can’t sue us in the future. Since after they see we make money because we’re telling right now we’re here to make money attorneys if they tried to back out and we have to go to court, they gotta pay for it. Seller acknowledges that we both agreed on this deal and prohibition and to be real. I’ve done this for four years. I still don’t know what that means. But who cares? And Bada bing, bada boom, it’s ready. Did what do you think? Looks good to me? Any questions?
Really, this isn’t my first time filling out a contract. Like I told you before, when I first got into it. I just let you know, I send the bag. But I think I downloaded like a free contract from Rick. Yeah, something similar.
It was just it got the same terms like most of you would just like,
I mean, not like you don’t look like this. But you know, I had to think yeah, of course. It’s a little different. But hey, man, so yeah, that’s good. That’s good. You’re able to see,
I guess what a different contract looks like again, not every you don’t have to have the same contract. It’s not like there’s a nationwide specific real estate contract to wholesale or buy someone’s property, all cash. They’re all different. There’s, there’s ones from all different coaches, all different companies. This is the one I use. And yeah, so anyway, here it is, guys, we’re gonna send this off. And then what I’m gonna give to you, Jay, is you’re gonna go call them after I send this and just remind them, hey, we sent that over. Sorry, took some time. We’ve been really busy. We signed that right now. So we can start our due diligence process on Monday. And, you know, just let me know if he signs then I’ll get it. But pretty much that’s all we really need. Um, we got everything set up, right.
Alright. Alright, send via email. Let’s send this junk. All right, creating document, and I’ll fill it out right now. So my portion is signed in this Bada bing that’s it, bro. You make offers you send contracts they sign or they don’t. And my thing I usually before I send the contract Jay, I called them. And I would say say hey, Donald, I just sent you the contract. I wanted to review with you before you sign it to make sure you have don’t have any questions. Do you have some time to look at it right now? Okay, great. All right, I’ll send it so actually, I don’t even send it until I get them on the phone. Because the chances of them ghosting you. If you send the contract are likely, it’s pretty likely that if you just send it and you just hope they sign that they can go bring the contract to someone else try to get a higher offer.
So again, this is my process. I fill it out. I call him I say hey, are you in front of your computer? Or do you have five minutes that we can look at this contract before you sign? I just want to make sure you don’t have any questions about it before I send it. Oh no, I’m good. Send it over. I’m on my computer. Okay, great. I send it he opens up the contract. We go through it. I read it not step by step but I go through it little by little just to make sure he doesn’t have any questions. And then I say, Hey, is everything good to go? Yeah, everything’s good. All right, can you sign it just so we can get the ball rolling right now? Okay, great. So again, I usually don’t send it unless they’re on the phone, but my excuse is it’s Saturday and you got this. All right. All right. If you liked that content, I definitely got more of it. Please like subscribe and hit the bell icon so I can get you more information like that. And I look forward to working with you again and talk to you later. Peace out.