T/B apprehension

[yoleven 0]

hey everyone

i met with potential t/b at Dennys to discuss the transaction.

Well, what do you know? he invites a friend to join us and offer his advice.His background on R.E / Financing is that his brother was in the business years ago.He states to T/B that he does'nt think that a LO arrangement will work to satisfy a future lender and then he calls some lady at a bank and vaguely runs the subject by her and then tells T/B she says she has doubts. What a DEAL Killer!

I stay cool and calm. then DEAL KILLER gets a cell call and leaves booth.

I tell T/B that, the lease is to show documented payments and amounts are noted.

The LO is a legal binding agreement that he can exercise or not, but holds a purchase option.

That he will sign a Promissary note for the option money.

Three seperate instruments to this transaction.

I think i got thru cause he signed a Authorization to Release form and i am running it now.

He then explains to me that he did a LO and the homeowner backed out and he lost money,that is why deal killer was there.I told him i was not familiar with his past LO but our structure is sound.

My question is, can a realestate attorney verify or lend credence to my LO agreement if my T/B still has doubts?

[MichaelC 160]

Let me save you some more lost time, POD. When you have to go through layers of folks, and hours of convincing and cajoling, that's a red flag that no matter what you say or do the deal is not going to get done. And if somehow, someway, it does get done, prepare yourself for much aggravation down the road. You getting an attorney involved just adds more chaos to an already turbulent mix.

My advice is to move on and find another t/b. And in the future, in the interest of saving yourself much time and aggravation, there is no need to meet with anyone unless it's to collect a check and sign the papers.

There are exceptions to every rule, and I hope this guy proves to be one. But just be advised that when you are knocking heads with folks it usually means a headache, and not much else. Keep us posted.

[Brian - L.V. 0]

His background on R.E / Financing is that his brother was in the business years ago.

How did that work out for him? It's funny to me that there's always some %*#@%! brother-in-law type that has to throw in their unsolicited opinion. I don't know about everyone else, but I'm not going to take medical advise from a plumber who took some biology classes "back in the day".

My advice is to move on and find another t/b. And in the future, in the interest of saving yourself much time and aggravation, there is no need to meet with anyone unless it's to collect a check and sign the papers.

Exactly. I've found that a pain in the ass potential t/b tends to turn into nightmare t/b down the road.

He then explains to me that he did a LO and the homeowner backed out and he lost money,that is why deal killer was there.I told him i was not familiar with his past LO but our structure is sound.

I understand his concern, but it makes me wonder if he really had a lease option and not just some rental agreement with the seller where they said he could "buy the house down the road." I'm sure you understand that an option is a legally binding unilateral contract, so if you choose to move forward with this t/b you can show him in the option paperwork where it spells out that you agree to sell the house at the specified price.

 

If that doesn't work, then take the deal away from him. If you chase a dog it'll run. If you run, it'll chase you......

[Dustin 0]

Nice post Brian -LV. In car sales... its the "Take Away" effect =).

[Brian - L.V. 0]

Nice post Brian -LV. In car sales... its the "Take Away" effect =).

Yeah, I don't remember what Brian Tracey called it exactly but it works for a lot of things. Before I started studying sales, I did this with a pain in the heine homeowner who constantly wanted me to send him my contracts and was just being annoying. I told him I was looking at other deals and wasn't sure I'd be able to move forward with his property anymore, and when he got back to me all he asked is when could we get together to do the paperwork. The fear of loss is often more powerful than the potential for gain.....