Dallas-Fort Worth Real Estate Investor Club

Hi Carolyn,

Congrats on getting your first house under contract!

I asked Greg Wilson this same question and he referred me to his mother, Dean Wilson, a VP at Republic Title, to find out what is required to legally assign my interests in a contract to another individual.

Dean said that the only thing that's required is a written statement signed by you and your assignee stating that you are transferring "all rights, title and interest" in the property and contract to them.  She said it could be hand-written and it would still be legal as long as it was generally legible.  The "rights, title and interest" wording is key.

She advised that the document also be dated and note whether you've received compensation or will receive it at closing.  (That's so the title company knows if they need to disburse funds to you at closing.)

For heaven's sake, don't shell out $199 for wording someone else made up following the above guidelines.  They're probably no better than the words you'd come up with yourself following the above guidelines.  Or copy someone else's free form as long as it follows the above guidelines.  

Or contact Dean.  Text me at the number below if you want her contact information.

There's no state-mandated or even state-recommended form.  If there was, it'd be on the TREC web site.

Congrats again on your first contract!  If your prospective buyer isn't interested, let me know.  I might do the deal with you.

Best regards,

David Weiss.

817-500-8412

Disclaimer:  I ain't a lawyer.  The above ain't legal advice.  I'm just relaying what a title company told me.  I like to think they might know what they're talking about when it comes to real estate contracts.  Use at your own risk.

Thanks David and Robin. I truly appreciate your feedback. I purchased one on the internet for $19.95 but I don't like the format nor does it have a place to enter the assignment fee. I think I could create my own based off this form, in a format that is easier to fill out and have all the necessary wording needed for legality.

The home I have under contract right now for $44k needs approx. $15-$22k in repairs (depending on if you are selling or renting) with an ARV of $80k. I have already paid $500 escrow and $50 option fee and am asking a total of $3k assignment fee. I would only make $2450 on this deal but I would be happy with that, in order to complete my 1st deal.

The buyer suggested that they would like the purchase price closer to $40k. I finally recvd the seller's disclosure yesterday, and based upon that and the home inspection, emailed my buyers agent with a list of major concerns on the home, and requested that the price be reduced to $40k. My agent is very good at negotiations and I am hopeful she will be able to get what I need. I also emailed the cash buyer back and asked if I could get the property down to $40k, would they purchase. They replied back they would have to look into it.  

If you know of anyone interested in this property (Alvarado) please have them contact me. I can be reached at clcvenus@gmail.com or 214-960-7379 / 214-682-5344.

Thanks again for all your help. I have enjoyed (and learned some things) reading the forum. I hope to be able to attend a meeting in the next couple of weeks.

Carolyn Chennault