How to Tell If an Investor Is Planning to Flip the Paper, Not the Property

In the world of real estate wholesaling and investing, there’s one question that separates the professionals from the amateurs: “Is this buyer actually going to close, or are they planning to assign my deal?”

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Jul 15, 2025

In the world of real estate wholesaling and investing, there’s one question that separates the professionals from the amateurs:

“Is this buyer actually going to close, or are they planning to assign my deal?”

It’s a subtle but crucial distinction. While assignments are a legitimate strategy, if a buyer plans to assign your deal without telling you, it can introduce delays, kill deals, and damage relationships with sellers who think the transaction is set in stone.

As the acquisitions rep, dispo agent, or wholesaler in the middle, you need to spot the signs early.

This guide breaks down exactly how to:

  • Identify buyers planning to assign vs. close

  • Spot the red flags in communication, timing, and paperwork

  • Ask the right questions without scaring off real buyers

  • Protect your deal while keeping options open

Let’s get into the silent signals of assignment intent and how to deal with them.

What Is an Assignment?

Let’s quickly define terms:

Assignment of contract means a buyer agrees to purchase a property, then sells their rights in that contract to another investor, typically for a fee.

They never intend to buy the property themselves. Instead, they profit from flipping the paper.

Assignments are legal (in most states) and common in wholesaling, but they can cause hiccups if:

  • The original seller was never told about it

  • The assignee can’t perform

  • The title company won’t cooperate

  • The deal has a narrow closing window

Whether you’re assigning a deal or working with someone who might, you need clarity, fast.

1. The Communication Pattern of an Assignor

Buyers who plan to assign your deal tend to follow a different rhythm from those who plan to close.

Signal #1: They avoid detailed conversations

They may:

  • Ask fewer questions about the property itself

  • Skip over title, liens, or tenant issues

  • Not care about comps, taxes, or insurance

Why? They’re not buying it. Their focus is on whether someone else will.

Signal #2: They say “Let me get back to you” a lot

Assignment buyers are often stalling while:

  • Finding their end buyer

  • Figuring out if they can resell it for a profit

  • Reaching out to cash buyers or hedge funds

If a buyer is constantly noncommittal, there’s a reason.

2. Their Numbers Don’t Match a Closer’s Math

One of the biggest tells? Their numbers don’t make sense for someone actually buying the deal.

Let’s say you’re offering a property at $130K, with a $210K ARV and $30K in rehab.

That means:

  • $210K ARV

  • – $30K rehab

  • – $130K asking price
    = Only $50K margin.

A true end buyer might want a 25–30% margin, so they’d offer $115K–$120K max.

But if someone says “I’ll take it at $130K full price”… you have to ask:

Why are they OK with tight margins?

The likely answer: they’re not. They’re hoping to assign it to someone else at $135K and pocket $5K.

This doesn’t mean you can’t work with them. It means you need to:

  • Protect your timeline

  • Limit your risk

  • Communicate expectations clearly

3. They Don’t Want to Be on Title

The clearest sign someone isn’t planning to close?

They get weird about being on the purchase contract or showing up on title.

They might:

  • Ask to use a “partner’s name” last minute

  • Want to use a generic LLC with no paperwork

  • Tell you they’ll “get it over to title soon” but don’t

This avoidance is a signal they’re waiting to lock in another buyer first.

4. They Push for Inspection Periods But Never Inspect

This is one of the top strategies assignment buyers use to stall.

They’ll:

  • Insist on a 7- or 10-day inspection window

  • Never show up to inspect

  • Or send someone else with vague questions

Why? They’re using the inspection period as a “buyer find” window. They’re not inspecting, they’re marketing.

If someone asks for a long inspection period but doesn’t engage, that’s a red flag.

5. Their “End Buyer” Suddenly Needs Access

Another telltale sign is the “end buyer visit.”

They say:

“My partner just wants to take a quick look.”

Or:

“Can we walk it with our contractor?”

In some cases, that’s normal. But if you’re being asked to:

  • Set up a second or third showing

  • Provide access for someone you don’t know

  • Or schedule a time that feels like a formal presentation...

They’re probably walking the property with a potential assignee.

Pro tip: Pay attention to how they phrase it.

A buyer planning to close might say:

“Let me walk it again myself to double-check the rehab.”

A buyer planning to assign says:

“I’ve got a contractor/investor friend who wants to check it out.”

Same access. Different goal.

6. They Ghost Then Reappear With a New Name

Classic sign:

  • Buyer locks it up.

  • You don’t hear much for a few days.

  • Suddenly, they say:

    “Hey, we’re ready to move forward, just need to update the buyer name to ‘XYZ Acquisitions LLC’ instead of me.”

That’s not a new LLC. That’s their end buyer.

If someone suddenly switches the name, timeline, or point of contact mid-deal, they’re assigning.

If this was never agreed to, you now have leverage, and a decision to make.

7. They Don’t Want to Put Down EMD

Nothing screams “non-committed” like a buyer who avoids earnest money.

They might:

  • Say they’ll send it later, then ghost

  • Offer $10 or $100 instead of the usual 1%

  • Ask if EMD is even required

In wholesaling, small EMDs are normal, but no EMD is a problem.

Assignment buyers avoid putting money down because they don’t want to risk their own funds.

8. They Ask You for Permission to Assign (or Don’t)

This one is easy:

If they ask:

“Hey, do you mind if I assign this?”

Then you’re already on alert.

But even more telling?

They don’t ask, just assume.

They’ll:

  • Sign your contract

  • Never mention assignment

  • Then send it to someone else

If you suspect this is happening, check your contract language. Make sure you:

Include a “no assignment without written approval” clause
Or at least require notification

You don’t have to block assignments entirely, but you should control them.

9. Their Entity Is New or Vague

If the buyer gives you an LLC that:

  • Has no website

  • Was registered in the last 30 days

  • Has no public records of ownership

…they’re probably using it to assign and disappear.

Some sophisticated assignors create fresh LLCs for each deal so they can limit liability.

That doesn’t mean they’re bad actors, but it does mean they’re not planning to close directly.

Tip: Always ask who will be listed on title and who will be wiring funds.

10. Their Buyer List Is Bigger Than Their Portfolio

You can check how real a buyer is by asking:

“How many properties have you closed this year?”

If they say:

“None, but I have a huge list of buyers.”

Then they’re not your buyer. They’re trying to become you.

This is fine if you’re JV’ing, but dangerous if you’re relying on them to close your deal.

How to Confirm Without Killing the Deal

You don’t want to accuse anyone of lying or kill a deal in progress.

Instead, ask these calm, direct questions:

  1. “Are you planning to close on this personally, or are you assigning it to an end buyer?”

  2. “Will your funds be used at close, or should I expect a different party on title?”

  3. “Can you provide proof of funds or a track record of similar deals closed?”

  4. “Will you be the one doing the walk-through, or is this someone else?”

Framing tip: Use phrases like “just to align expectations” or “to keep things smooth with title.”

Don’t make it accusatory. Make it about transparency.

How to Protect Yourself

Whether or not you’re okay with assignments, here are some ways to mitigate risk:

Add clear contract language:

  • “Buyer shall not assign this contract without written approval from Seller.”

  • “Assignment shall not delay closing or title process.”

Require non-refundable EMD:

Even $1,000 non-refundable can weed out unserious buyers.

Use a short inspection period:

1–3 days is enough. If they don’t show up, they’re not serious.

Work with buyers who close:

Keep a vetted list of go-to closers. Make your deal flow depend on performance, not promises.

Get proof of funds, even for assignment buyers:

If they’re legit, they should still show financial credibility.

When to Say No (and When to Say Yes)

You don’t have to avoid assignment buyers. Some are legit pros who’ll help you dispo quickly.

But you should avoid:

  • Ghosters

  • Non-transparent operators

  • Newbies who lock up deals they can’t sell

Say YES to assignment buyers who:

  • Tell you upfront

  • Use clean paperwork

  • Respect timelines

  • Bring value

Say NO to buyers who:

  • Delay for no reason

  • Hide their intent

  • Burn you on past deals

Know the Player, Know the Play

In real estate investing, certainty is everything.

If you’re selling a contract, you need to know:

  • Who’s actually buying

  • Who’s assigning

  • Who’s pretending to be the buyer

By spotting these silent signals, you can protect your deal, your relationships, and your reputation.

So next time someone says, “Yeah, I’m ready to lock this up,” don’t just celebrate.

Ask yourself: Are they buying it, or selling it again? Now you’ll know.

Level up your real estate game with Goliath Data.

Written By:

Austin Beveridge

Chief Operating Officer

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