I've been told it's called "off-setting" Is this true, and is it legal? Thankyou.
2007-02-12 14:31:21 · 5 answers · asked by Anonymous in Business & Finance ➔ Renting & Real Estate
Sorry folks. I've just found out that it's called "Off Plan" when you buy a property (by putting down a deposit) before it's built and hang on to it untill you sell it on for a profit - before you're actually obliged to get a mortgage. Quick profits, but dangerous too.
2007-02-12 14:45:16 · update #1
As long as the mortgage is paid, you can get by with it. Can you be charged with selling property you don't own? Sure, and you probably will be. It is also called fraud.
2007-02-12 14:36:27 · answer #1 · answered by T C 6 · 0⤊ 0⤋
This is called flipping a property.
If you know someone that is investing in real estate and looking for a particular type of place, you can put the property under contract and then sell it to your business contact, without ever having to take possession of the property.
In the contract you have it read that the house will be sold to you "and/or assigns." This gives you permission to transfer the obligations of the contract to another person.
Actually, you don't even need the seller's permission, but by doing this, you've notified them of the possibility and they won't have room to complain if you do transfer the sale.
Usually you can get 5% to 10% on the deal, for $500 or $1,000 down.
Good Luck
2007-02-12 14:44:01 · answer #2 · answered by A_Kansan 4 · 1⤊ 1⤋
IT is pointing to a big flaw in the market were new home are not on the MLS nor are showed by Realtors. A great way to short the market and thus drive up prices. See how els they have shorted the market and made the bubble.
http://www.breakingbubble.com/index.htm
What is need is mandatory, public assailable ran MLS for all property bought and sold ran by the county. Then you will have a fair open and honest market.
IT seems very apparent the the Realtors do not have other best interest in mind and not the general publick.
2007-02-12 15:01:42 · answer #3 · answered by Anonymous · 0⤊ 1⤋
Lol, I don't know but it better be a simultaneous closing and it better be allowed in the original purchase agreement executed prior to the re-sale
2007-02-12 14:36:47 · answer #4 · answered by newmexicorealestateforms 6 · 1⤊ 0⤋
its a good way to get stuck with a property and a mortgage you can't afford.....
2007-02-12 14:34:40 · answer #5 · answered by Anonymous · 1⤊ 0⤋