When BANKS says NO to Assignment Contract

When BANKS says NO to Assignment Contract

Hello ALL,

On a hypotthetical manner, say you have an REO under contract and the bank expects you to close on the deal soon. How do you proceed to close the deal if the banks do not allow you to perform an Assignment? Thanks in advance.


Assigning REOs

Hello. I'm not an expert, but I have yet to find a bank that will even consider any offer that is going to be assigned. There is one way around this that I've found and that is to use a land trust. It is important to have an end buyer or have the funding available at closing using this method. There is a post on this site somewhere that explains a trust in great detail. I am in the middle of the process right now on 2 deals (my first 2!!) so I'm still learning. Anyway, I hope this points you in the right direction for an alternative to assigning REOs. Best wishes and God Bless You!


Few other Ways

I was doing a little research and I read up on 3 other ways that may be helpful. I haven't used them but its always good to have an open mind and try. SO 1) add a purchaser to the agreement. I assume with this you would add your end buyers name to the contract using an addendum and later remove your name. 2)You can purchase it using an llc and sell the llc. (not too sure on the specifics) 3) you may be able to add an assignent addendum (not sure if that will work but may be worth a shot.)
I guess it just all adds up to thinking out of the box. Don't say it can't be done, just ask how you can do it. Hope it helps a little.


I remember reading on another blog that you could also have a double closing, where you pay for the property then walk into another room and resell the property for a higher agreed upon amount that same day. Just remember to deposit the check right away!
Hope that helps a little.



Clarence E. Grooms