Assigning a contract

[dleischner]

Hi there,

What is the proper way for me to assign a purchase contract to my investor (JV Partner). In the past, I just stipulated the "contract was assignable" and we did an amendment to the contract showing my investors name (since I`m not going to be on title). I guess there is some new fraud verification out there that doesn`t allow me to do that (my agent said today). I don`t want to approach my JV Partner (s) until I have a final number and a locked up contract.

Is there some way around this new rule?

Thanks

 

[JimWhitelaw]

QUOTE (dleischner @ May 14 2010, 01:14 PM) Hi there,

What is the proper way for me to assign a purchase contract to my investor (JV Partner). In the past, I just stipulated the "contract was assignable" and we did an amendment to the contract showing my investors name (since I`m not going to be on title). I guess there is some new fraud verification out there that doesn`t allow me to do that (my agent said today). I don`t want to approach my JV Partner (s) until I have a final number and a locked up contract.

Is there some way around this new rule?

Thanks
I believe your agent is mistaken. My understanding is the rule requires the realtor to verify the identity of the final buyer on the contract. You can most certainly write up the offer with your name "and/or assigns" and do an amendment later. The agent will do the required fraud prevention paperwork with your JV partner.

 

[dleischner]

QUOTE (JimWhitelaw @ May 14 2010, 01:56 PM) I believe your agent is mistaken. My understanding is the rule requires the realtor to verify the identity of the final buyer on the contract. You can most certainly write up the offer with your name "and/or assigns" and do an amendment later. The agent will do the required fraud prevention paperwork with your JV partner.

Thanks Jim, I`ll give that wording a try.

Dean