• Was it all fully disclosed to the bank?
• Did the transaction, as it occurred in reality, accurately be documented in the paperwork?
• Did we disclose everything to the lender?

Yes, we disclosed that the buyer was going to buy the property at $160,000 from the seller and that the seller was going to pay us $10,000 to release our interest in the property. The buyer did buy the property from the seller for $160,000 and the seller really did pay us $10,000 to release our interests. Did we have a bonafied interest? Yes we did. When the closing agent does a title search they will find our interest in the property which was the affidavit. All of it was legal. What we disclosed in the transaction and the paperwork was representing exactly the way the transaction occurred in reality. There was no bank fraud in there. That is what everybody is concerned about. Well the bank knew everything and they will approve of the seller paying you. There is no problem with that even if they don’t like it when the borrower gets money back. You are a third party to this transaction and they are going to see that and are going to be very happy with letting you get your assignment fee out of the deal. As long as you are not calling it an assignment fee but a fee to release your interest in the property. That’s the easiest way to set a wholesale purchase up so that a conventional lender will work.

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