Double Closing: A Smart Real Estate Investment Strategy in 2024

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Double Closing A Smart Real Estate Investment
Strategy in 2024
Investing in real estate can be as easy as acting
as an intermediate in transactions. Its like
finding a treasure and getting paid for it when
you bring together individuals who want to
purchase and those who want to sell. Your job
becomes facilitating the connection. Also, since
you wont occupy the property for very long,
theres less risk for you. Keeping the original
seller and buyer satisfied is a difficult aspect
of this type of real estate transaction. Using a
wholesale real estate double closing is one
technique to deal with this. You do two distinct
transactions to guarantee that everyones needs
are satisfied. How Does a Wholesaling Double
Closing Work? This process involves two main
parts. First, theres the A to B transaction,
where you buy the property from the seller.
Then, theres the B to C transaction, where you
sell the property to your end buyer. Usually, as
a wholesaler, you use the funds from the B to C
transaction to pay for the A to B transaction
(your original purchase). Your end buyer brings
all the money to the closing for both
transactions. There are two separate closings,
each with its own HUD-1 statement. The first
closing statement shows the transaction between
you and the seller, indicating the amount you
paid for the property. The second closing
statement shows the transaction between you and
the end buyer, reflecting the amount you sold
the property for. Double Closing Vs. Wholesale
Real Estate Contracting Not every wholesale deal
involves double closing. Some are carried out
through the sale of a wholesale real estate
contract. Lets take a quick look at the
distinctions between a wholesale real estate
contract and a double closing.
Wholesale Real Estate Contracting Double Closing
Investor Funding The end buyer supplies the funding. An intermediary helps with the buying and selling of the property.
Markup Transparency The seller knows what the buyer is paying for the property. The seller isnt informed about the final sale price to the end buyer.
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Time Period Contracting often occurs on the same day. The closing must be done within specific time constraints and involves two separate transactions.
Financing Contingencies Financing contingencies are often omitted since the ultimate buyer pays the final sale price. Financing contingencies are frequently added to safeguard the intermediary between transactions.

• When to Double Close in Real Estate
• Knowing when to double close in real estate is
  essential once you understand the difference
  between real estate wholesale contracts and
  double closing. So, when should you do a double
  close?
• If your profit seems very high to the seller or
  your end buyer, its better to opt for a double
  close.
• If youre wholesaling without being a licensed
  real estate agent, doing a double close might be
  necessary.
• If you can handle the closing costs or if youre
  able to make a direct purchase from the seller
  initially, theres no downside to doing a double
  close.
• Get Easy Funding
• If you plan to double close transactions, you
  must be ready for any scenario. Sometimes, title
  companies or closing attorneys might not allow
  you to use the end buyers funds for both
  transactions. Thats where transactional funding
  double close comes in handy to make the process
  smoother. However, finding the right funding
  company can be tricky and might even cost you a
  deal. Dont worry were here to help.
• At Doubleclose.com, we understand your needs.
  Weve assisted many real estate wholesalers with
  simple funding solutions. Contact us now and
  explore the benefits of transactional funding.
• Author Bio
• The author serves as a transactional lender for
  real estate wholesalers nationwide, assisting in
  closing deals ranging from below 1 million to
  higher amounts. Get 100 transactional funding
  for your next deal without any upfront costs.
  Find more details at https//www.doubleclose.com/
  .