Nathan Payne breaks down what makes a real estate contract legally binding: purchase price, agreement date, due diligence period, closing date, and signatures from both parties. Leave out the price and the contract is unenforceable, leaving you with no recourse if the seller walks. State explicitly that it's a cash deal and the contract is assignable.
Let's go back to the real estate purchase contract and why it's pretty— really what you're doing is you're just telling a seller that you're willing to purchase their house as is for cash, and that's what your agreement says. Also, it should have the date that you guys have entered into the agreement, should have the purchase price. If without a purchase price, it is not valid. I've actually had agreements where I just signed it and the sellers have signed it. We didn't put a purchase price because I was like, oh, okay, we got to figure out what you owe and then I'll just buy it for what you owe once you find it. And then the people try to back out and I don't have the purchase price on there, so I'm not able to go and fight it. So make sure you put the price in there. Also, you want to have a due diligence period. Not only that, you're going to want a date for the closing and then the signatures that both people sign, both parties. Okay, it's pretty basic, and you can have as much as you want in this agreement, but really, mine, the thing that's most important is letting them know you're buying it for cash, it's assignable. You're letting them know that if the seller does not perform on this and I'm able to perform, we have the rights to file a notice of interest to cloud the title and file memorandum.
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