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About Lexie(UT)

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  1. Adam, Just to touch on one thing in your last post regarding banks... I am not sure I see why a bank would care (or even ever know) about handling the payout to me using a this 'release' technique. As far as I can tell, the only people that will ever know about this are the seller, the investor (me/us), and the Title/Escrow company. We are simply giving directions to the escrow company on how to pay the funds at closing The bank is getting their full payoff before any other checks are issued, anyway. Does that make sense, or am I missing something? Lexie
  2. Adam, I think this is a great thread to that many could benefit from. Getting paid in the end is what we are all looking for, anyway! With regards to this deal, there is no seasoning issue as I have held the option for nearly 2 years. Also, I talked to the Title company and asked them what they wanted, and they just said they needed a simple letter like Jonathan gave earlier in the thread and there would be no problems. We will be closing in the next 2-3 weeks, so I will report back on what happens in the end. Lexie
  3. Definitely good to err on the side of caution I suppose. I will get it notarized, then. Also, one thing that seller brought up is that he doesn't want to have tax liability for the full purchase price, but just the amount he actually receives from the sale. Obviously he is really only receiving the amount on the Option Agreement, and I am receiving the rest as my fee. Is there anything different that would need to be done to ensure this? (I realize this is a legal question, but I am most interested if anyone has had experience with this in previous deals.) As always - Thank you!
  4. Thanks Jonathan and Michael. I hope this will take care of it. But, I likely will have some more questions as I finish the process. One more thing. Will anything in this process need to be notarized or recorded? Will the seller have to sign this "cancellation agreement"? He is out of state, so the simpler the better. Thanks again!
  5. Thanks. Is this a standard form the title company would have/know about? It would be fine to have them do it, I just want to make sure they know what I am talking about when I go in there. Is there some other name it would be known by? Let me just sum this up for clarification and possible future readers: 1) I have a Lease with Option contract with Seller (nothing is recorded). 2) I allow Seller and new Buyer to go into contract for the purchase of the property 3) Escrow is opened at the title company with Purchase Agreement 4) I take my Option to the title company and get a "cancellation agreement" drafted with proper dollar amount that goes into escrow 5) At Closing I am issued a check for the amount on the "cancellation agreement" Is this all right? If there is some step missing, or I have messed something up, please let me know. Thanks.
  6. Jonathan, Thanks for your comments. That sounds exactly like what I want to do, so things can be kept simple. I have seen you reference the "cancellation agreement" many times, but not sure what it should say. Will there be dollar figures in it? Also, what happens if for some reason the sale doesn't go through? I don't want to lose my option. And then you say "place it in escrow for payment instructions". Basically what you are saying is once I have this cancellation document signed, I take it to the title company and they just add it to the documents for the sale? The title company seems clueless on this type of deal (from what the buyer is telling me), and I just want to make sure I have all my bases covered when I talk to them. Thanks for your help.
  7. Thanks MichaelC. I looked over the thread you mentioned and a few others, and got a little confused over Jonathan's method a bit. Let me try to clarify what you said and see if I have it straight: You think I should sign a Pure Option with the Seller even though I already have a Lease with Option with them? The Lease with Option dates back almost 2 years (a 3 yr agreement), and if I signed a Pure Option now, wouldn't that look suspect (like flipping) and possibly come under scrutiny? I don't mean to second-guess your advice, as you are definitely the expert here, I just want to make sure everything is clear to me. Now, with this existing agreement I never recorded anything or signed a Memo of Option. Could I do this now on this older agreement, or is this why you are suggesting signing a Pure Option now to keep the dates looking better? This process is already moving quickly and the buyer wants to get the seller an earnest money agreement right away. I just don't want to mess anything up or cause any red flags, but I need to be protected. Thanks so much for your help.
  8. Hey all, I have a lease option contract with a seller, and the TB is moving out. I now have someone who wants to buy the property outright, but wants to go through the original seller (it would make them much more comfortable) since the seller is who is on Title (they looked up the county records and asked me about it). Anyway, I think I am fine with that, but I want to make sure my position is solid and secure. I stand to make about 25k off of the deal. So, what should I do? What should I include in an agreement to make sure I get my money when the property closes? Thanks, Lexie
  9. When I am talking to people who have called on my ad, some of the first few questions they want to know is how much they will need for a down payment. They also want to know how much is the price of the home. I understand from MC's course that you should not give them exact numbers, that instead you should ask them. So I usually ask them how much they have available and they answer back with a respons like well how much will we need. I can get whatever I need. I used to tell them we take 3% of the value of the home for our downpayment, which would then bring up the question well how much is the home? What do I do to avoid getting asked these questions and if they are asked how do I not give exact numbers? Lexie(UT)
  10. We are now coming into bad weather times here, rain, wind, even snow. I have read to post fliers everywhere, anywhere that is a flat surface. But now all the flat surfaces are wet. I want to know what are some of the ways you continue to advertise homes available if it is bad weather? Lexie(UT)
  11. Congrats Naomi, I used to always suggest my name when people were trying to think of different names. But just recently "Lexie" has become the papular name of choice. Mine however is "Lexie Ann" not Alexis or whatever else they have. We named our little girl "Emily Nicole". My husband picked it at first I was a little against it cause I didn't want my girl to ave the most common name on the earth, but it grew on me and now i think it is a beautiful name. But again congrats. Lexie(UT)
  12. Well for one it starts off "Are you trying to sell your house", then it goes on to say the three ways that people usually do it. Only thing is I called this Homeowner who was only interested in renting. I asked her if she would be interested in renting it for a time and then selling it to me in the futuer. She said that they might be interested in selling it, hadn't really thought about it. She wan't extremely motivated to sell. So I just kinda felt that sending her out the LPA with the first question "Are you trying to sell" just didn't quite fit her situation. Don't get me wrong MC I think it's great and works wonderfully. But for rentals? Have you used it in this situation? Lexie(UT)
  13. Lexie(UT)

    LPA for FRBO

    I am new to the board and have simply been browsing, but yesterday I actually got up the guts to call on a few FRBO. (Scared me near to death) I didn't do as well as I hoped but I didn't close the door completely I got her address and told her I would send her out more information about Lease Purchasing. So now I am looking over the LPA and it seems that this is what I want to send her, but it is more geared towards FSBO's and not FRBO's. Would you just change the wording so it applied more to a FRBO? What would you say? Any help would be greatly appreciated. Lexie(UT)
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