I find that many folks are skeptical in dealing with a random dude (or gal) that they found on Facebook or Craigslist or wherever land is sold.
Alternatively, you may be wondering— what do we put together to ensure that we have LEGAL and LAWFUL land deal?
I would feel the same way too! And I’ve found that many clients feel much more reassured when we go through the paperwork together.
Here are the 3 steps to the process of what it takes to work together and get it done right…
Step# 1: The Purchase & Sale Agreement and Downpayment
For the vast majority of clients (with some rare exceptions), we first put together a purchase & sale agreement BEFORE we ever collect money of any sort.
I want to make sure that there’s no room for misunderstanding and that the terms of the deal are all laid out and simple/easy to understand.
This is a simple one page document that has my info/ address/ phone # and your info / address/ phone #.
It has the parcel # and legal description. It has the purchase price/ downpayment/ monthly payment (or cash price)/ due dates. It briefly describes the guarantees and promises you are making to me and that I am making to you.
For example, I am promising to you that when you pay off the property that I will within a timely period (2 weeks usually) turn over the deed of the property to you. We usually do this via warranty deed.
Next, we’ll send that document to you over e-mail via DocuSign where both you and I can sign digitally.
You get a copy, I get a copy. Everyone gets a copy! This way we have an agreement on paper and everyone knows their responsibilities.
Finally, AFTER everyone has signed, I’ll give you a ring and collect the downpayment. I use a system called GeekPay.io to process the payment. We can use a credit card or debit card to get you going.
(NOTE: If you are paying for a property fully in cash— we skip Step# 2 and move straight to Step# 3)
2. The Note Set Up/ Land Contract & Promissory Note
Once we process your downpayment, we’ll get you set up for automatic payments on GeekPay.
Check out a demo and how to use GeekPay in the videos below…
So, now that you’re all set up in GeekPay, we’ll get a few more documents prepared for you including…
- The Promissory Note— an important document describing the details of the owner financing that I am providing to you
- The Land Contract- another very important document that describes the conditions of the land and our deal overall
- Our 90 Day Guarantee and 2 More Guarantees/ County Disclosures
I’ll send those to you over DocuSign and you’ll sign and I’ll sign. Then, we’ll all get a copy.
3. The Warranty Deed
Let’s fast forward a few years down the road—— >> Once we’ve completed our contract (over 2 or 3 or 4 years) and the property is paid IN FULL, I’m now obligated to make sure that I change the property from being in my name/ my company’s name to our name.
If you want to have the deed in your name or your kiddo’s name or jointly held with your spouse, no problem! You just let me know.
We’ll prepare the deed and send it to you for your review. You approve it and then I sign it and have it notarized.
Then, you’ll have a choice of whether or not you want me to file the deed or if you want to file the deed. The filing costs vary from $15 up to $100 depending on the state.
If you want to go through a title company, no problem! — but I will typically ask for you to pay for the cost to do so.
And that’s it my friends!
Simple, straight-forward, and transparent. No gimmicks here!
And so my friends, that’s the path to land ownership. It’s incredibly easy and simple to do.
I’ve laid out for you the three steps to purchasing land through Generation Family Properties.
1- The Purchase & Sale Agreement
2- The Note Set Up / Land Contract and Other Paperwork
3- The Warranty Deed
Are you ready to move forward with the purchase of your ideal property?
Check out our available properties here or give me a ring at 775-234-2058