Contract For Sale Of Real Estate: Fill & Download for Free

I own many millions of dollars worth of real estate. Here is a little bit of what I have learned in the 41 years that I’ve been investing in properties:Investing in real estate is not really like what you see on HGTV. They tell you that a property is under contract, and if it closes at the asking price, the investors may make a nice profit. They don’t tell you that the contract failed to close, or that the property taxes were due, or that the holding cost of the property added $10,000 to $20,000 extra to the cost because your first contractor took the deposit for the improvements that you were going to do to the property and now you can’t locate him anywhere. They don’t tell you that the market in the area changed almost overnight and now you are going to lose $40,000, instead of making $40,000. They don’t tell you that after your property has been remodeled and listed on the market for sale for a year or two that it’s probably a good idea to simply hold it and turn it into an income producing rental property, at least until the market changes and you can sell it for a reasonable amount. There are SO many things that can and do go wrong when buying a property.A good investor has the patience to negotiate with repairmen, deal with the local government entities that issue work permits, and the ability to calmly work through the issues one by one, keep the projects moving forward as rapidly as possible, while also doing a quality job on repairs and remodeling.Real estate investments are just like any other investments: they are easy to make money in if you understand the industry, understand the market, know when to buy, when to hold, and when to sell. It is also wise to have an idea of the risks versus the potential rewards involved in the investments.Having said that, yes, real estate investments can be pretty straight forward and fairly simple with a little bit of basic knowledge that you can gain online, or in books on the subject of real estate investing.The first thing that I would advise is to decide what type of real estate you want to invest in: residential, commercial, special use, land, or something else.Write down your plan and do your best to follow the plan. If the plan isn’t working, seriously look at revising the plan.If you plan to just buy a few smaller properties, you can simply use a local realtor that is familiar with helping local investors locate good values in properties. If you are planning to invest in a larger number of properties you may want to consider hiring a property management company to deal with tenants. That will free up your time so you can focus on locating more properties to invest in.Investing in real estate may sound a little risky and a little confusing, but the reality is that there are a lot of real estate investors that are happy to mentor you, if you simply ask for their help and advice. A good realtor will also be a huge help to your team.Realtors don’t charge the buyers… they work for buyers and investors totally free of charge. Property sellers pay for the realtor’s time and effort.Investing in real estate can be very fun, very exciting, very rewarding, and very profitable.Because of an investor’s use of leverage, it is possible for your financial net worth to grow fairly rapidly when investing in real estate.Good luck and have fun!

Just as with most things I’ve run across, the profits are made on any deal when you buy.If you buy real estate at the asking price, you may have to wait a long time for appreciation, or rental income, to provide you with a profit.However, if you offer 65%, 75%, or 80% of the asking price on a property, you’ve instantly made a profit.I recently purchased a property that the seller had listed for sale at around $400,000. I offered $250,000.They rejected the offer, but came down to $380,000. Awesome! They want to sell and are willing to negotiate! I just made $20,000.I counter offered at $260,000… they came back with a reduced price of $$350,000. I just made $50,000.I counter offered again at $280,000 and they came back at $325,000. Just made $75,000.I offered $300,000 and told them it was all I was willing to pay. They said $305,000 was their lowest price. I said if they can write the contract so that the total price including closing costs were $305,000 and “not one dime more”, I would pay cash for their property.The closing cost were about $9,000. They tried to add it to the $305,000 price making the total $314,000. I refused their contract and told them that was not my offer.I told them to take their time and to think overnight about whether they wanted to sell the property now, or look for another buyer… and to let me know in the morning.I let them know that there were no hard feelings, regardless of their decision, and that there were a number of other properties that I was currently looking at. The following morning when I opened my emails, I had a contact that backed the $9,000 out of the $305,000 price.I paid about $296,000 plus closing costs for a total price of exactly $305,000, instead of $400,000 plus thousands of dollars in closing costs.I made a little over $100,000 potential profit on the day I bought the property.The seller had recently sold his business, left Texas, and was already living in Hawaii. Once I found that out, I knew he just wanted to sell and be done with this final piece of real estate and get on with his new life of retirement. He wanted to enjoy the beach and sip umbrella drinks. I wanted to help him jump start his new dream.A big part of real estate investing is helping people, and big part of your profits on real estate investments can be made when you initially negotiate to buy your properties.

This is why people use buyers’ agents when they are shopping for a house. Since the two agents typically split the commission, it doesn’t cost you anything, but it can save all kinds of trouble.Your agent would/should have used a standard form to format your offer to make the offer subject to the house passing inspection (and your lender would want an appraisal also).You need to talk with your agent — if you have one. If you don’t, this is about to get more expensive for you, because you need a real estate lawyer right away. The law is very strict about contracts for the sale of real property.