How to Prepare a Real Estate Deal Sheet in NYC (2019) | Hauseit® FSBO Training Series

How to Prepare a Real Estate Deal Sheet in NYC (2019) | Hauseit® FSBO Training Series


Preparing a deal sheet is the next step once you’ve accepted an offer as an agent-assisted FSBO seller. Completing an inaccurate or incomplete deal sheet is the easiest way to delay or derail your sale. To download a deal sheet template, visit www.hauseit.com. Here’s how you complete a real estate deal sheet: At the top, include your home’s full address (including the city and zip code) as well as today’s date. Include the full name and contact details of the buyer and seller. If there are multiple buyers, it’s important to include all names that your counterparty would like to include on the sale contract. If you do not have the buyer’s social security number, you can simply write “On File with Attorney” in that section. Provide the full contact information of both the buyer’s and seller’s attorney. It’s especially important to include an accurate email address for both lawyers, as they will receive your deal sheet via email. It’s also a good idea to provide the cell phone or extension of the attorneys. Including a generic front desk line for an attorney will make him or her harder to contact and thereby delay your pathway towards signed contract. If there is no buyer’s broker on your deal, simply enter: “N/A” in the relevant cells on the deal sheet. If there is a buyer’s agent, make sure you include their license information. The easiest way to find this out is to simply paste the ‘buyer’s broker’ section of the deal sheet into an email, send it to the buyer’s agent, and ask them to fill it out. If you are selling an apartment, you must include accurate contact details for your building’s managing agent. This includes an email address and direct phone number or extension of the transfer agent. The transfer agent is a dedicated individual at the managing agent who handles resales. The next step is to include the full deal terms of your proposed sale. Here is how you fill out each cell: Purchase Price is the agreed upon sale price of the deal. Closing Date should be listed as ASAP, unless you’ve negotiated with the buyer for a specific closing date. This is also the section where you would indicate the details of a sale leaseback if you’ve negotiated this arrangement with the seller. A sale leaseback is also called a post-closing possession agreement. You should include the length of the post-possession occupancy, the cost of the post-closing occupancy, the escrow amount and the holdover fee. In the Financing field, indicate what percentage of the deal is being financed. For example, if the buyer is putting down 25% you should write the following: “75% Financing | 25% Down” The Contingencies Field is where you would include information about a mortgage contingency, if your buyer has requested one. There are many types of contingencies aside from a generic mortgage contingency, which include a Hubbard contingency, appraisal contingency and a funding contingency. To learn more about common real estate contingencies in NYC, visit our blog at www.hauseit.com/blog The Exclusions and Inclusions Field is where you list any other terms you’ve agreed with the buyer in regard to fixtures or other items of furniture in the property. Here is an example: “Inclusions: Two Flat Screen TVs, Two Window Air Conditioners, Living Room Sofa, all “as is” but in working order on the day of closing.” In the Commission field, please indicate the buyer agent commission you’ve offered if there is a buyer broker on the deal. Here’s an example: “3% to ABC Brokerage LLC” If your buyer is unrepresented, simply list “N/A” in this field. Please specify your building’s flip tax in the Flip Tax cell, if there is one. If you are unsure about the exact flip tax it’s a good idea to write “To Be Confirmed by Attorney.” Here is an example of what to include in this field: “3% of Sale Price (Seller Pays) – TBC by Attorney” If you haven’t already disclosed your building’s flip tax to the buyer at this stage, we strongly encourage you to have this conversation with them before moving forward. If you are selling a co-op, indicate the number of shares in the Shares cell. You may delete this row entirely if you are selling a condo or a house. Please specify your unit’s monthly maintenance or common charge figure in the Monthly Maintenance / Common Charges Field. Here is an example: “Common Charges: $583.54/month” For the Monthly Taxes field, please include the most up-to-date figure from the Department of Finance. If the monthly real estate taxes figure you included on your listing was outdated or incorrect, you must discuss this with the buyer before moving forward. If you are selling a co-op, you may delete the Taxes row since it is not applicable. If your home has an assessment, you must specify the amount of any assessments as well as the duration. Here is an example: “Roof Repair Assessment: $350/month through July 2023” Assessment information should always be disclosed on your listing, so if you did not disclose it before you must share it with the buyer at this stage before moving forward. Once your deal sheet is complete, we suggest you save it as a one-page PDF file. The deal sheet should be circulated to both attorneys and the buyer’s agent, if there is one. Here is what a deal sheet email looks like: Subject: Deal Sheet: 230 Elizabeth Street, Apt. 3 (Barnum to Roy) Barnum and Roy are the last names of the seller and buyer, respectively. Body: Hi Robert and John – kindly find enclosed a deal sheet for the proposed sale of 230 Elizabeth Street, Apt. 3 from Barnum to Roy. Can you both kindly confirm receipt? Once both attorneys confirm receipt of the deal sheet, you should email all due diligence documents to the buyer’s attorney. This includes the Offering Plan and the last 2 years of financials. You should also share any other building documentation you have with the buyer’s attorney and buyer broker, if there is one. These documents include the purchase application, sublet application, house rules, alteration agreement and decorative rider. You can also share the annual tax deduction letter if you are selling a co-op. More questions? Ask the community in Hauseit’s Forum, where buyers, sellers and New York real estate professionals come together to discuss the toughest questions in real estate.

4 thoughts on “How to Prepare a Real Estate Deal Sheet in NYC (2019) | Hauseit® FSBO Training Series

  1. Assuming the seller didn't provide the amount of shares (in a co-op sale) would it be best to inquire with the building managment?

  2. Super video with good background on how the deal sheet sets forth the review process.

  3. Amazing video to get a general idea of what a deal sheet looks like and how to prepare one

  4. Great video. Very helpful. Thanks for sharing.

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