Legal Question in Real Estate Law in Illinois

Flipping property sale

I am purchasing a new property in the Chicago area and have been told that someone is interested in buying the property from me at a premium price. The property has appreciated since I first made a down payment. The buyer would like to write me a check for the premium he is willing to pay and then take over the title. He has agreed to pay ''full list'' i.e. the current price + upgrades + premium.

What is the most economical way to affect the transfer of title without revealing to the prospective buyer the original price I paid for the property? According to the real estate company I must CLOSE on the purchase of the property first before I can resell the property to the buyer, i.e. I cannot simply transfer title to the buyer.


Asked on 8/29/03, 2:13 pm

3 Answers from Attorneys
Jay Pollak The Pollak Law Firm, LLC

Re: Flipping property sale

I think what you are trying to do is assign the contract of purchase to a third part so you can get out of the transaction now having made a quick profit. Whether this is possible is governed by the contract. In fact all your questions are governed by the contract. Without a review there are no definative answer. Seek the help and advice of a lawyer if you dont already have one.

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Answered on 8/29/03, 2:18 pm
Charles Dobra Charles Wm. Dobra, Ltd.

Re: Flipping property sale

This may be a transaction that the DOJ is interested in, or, how many ways can you spell "SCAM". I think that your realtor is on the ball; you should close on this property first. And, you should retain the services of a competent real estate lawyer as soon as possible. "Counseled" closings are the rule in this jurisdiction, unlike others. Be careful, and good luck.

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Answered on 8/29/03, 4:12 pm
Mary McDonagh McDonagh-Faherty Law Offices

Re: Flipping property sale

What you are doing happens every day and is not a scam. However, it depends on the terms of your contract and other factors before you can get a correct answer. My answer is: the most economical way is by hiring an attorney because he/she will ensure you don't screw up.

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Answered on 8/29/03, 4:30 pm


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