Common Borrower Questions
- What is transactional funding?
- When is transactional funding needed?
- Are there minimum and maximum funding amounts?
- Is credit a factor in obtaining transactional funding?
- What are your transactional funding fees?
- Do you offer proof of funds letters?
- I work in a different state than your office. Will you still lend to me?
- Do I need to come into your office to sign the papers?
- How quickly can you close and fund my deal?
Q. What is transactional funding?
A. Also known as a “double closing,” transactional funding is a short-term loan provided to wholesalers who purchase and quickly re-sell a property on the same day. The property seller is known as “Party A.” The wholesaler is “Party B.” The end buyer of the property is “Party C.” Transactional Funding deals are also sometimes called “A-B – B-C” Transactions.
Q. When is transactional funding needed?
A. Our clients use our Transactional Funding Service for two fundamental reasons:
- They have a contract that is NOT ASSIGNABLE to a third party. This is typical when purchasing properties off MLS, bank-owned properties, or properties owned by government entities (HUD, FHA, Fannie Mae, etc.)
- The wholesaler chooses not to assign the contract to maximize their wholesale markup. End buyers may not purchase a property if the assignment fee is too high. When utilizing transactional funding, you do not have to disclose your contract details to the end buyer.
Q. Are there minimum and maximum funding amounts?
A. No. We are proud to be the industry leader in funding large deals of over $1 million for real estate wholesalers.
Q. Is credit a factor in obtaining transactional funding?
A. No. There are no personal financial requirements to obtain transactional funding. We do not run your credit and do not require bank statements, tax returns, etc.
Q. I work in a different state than your office. Will you still lend to me?
A. Yes! Yes! We help fund real estate wholesale deals across the U.S., excluding Alaska, Hawaii, and New York. We aim to empower wholesalers nationwide to close on more deals and keep more of their profits!
Q. Do I need to come into your office to sign papers?
A. No! Our process makes it easy to quickly access funds remotely. We make the process simple for all borrowers. Signatures can be completed digitally, making the process simple for you.
Q. How quickly can you provide transactional funding?
A. We can provide the best transactional funding almost immediately. Contact us today to learn more about what we can offer you!
Q: Do you provide proof of funds letters?
A: Yes! Our Loan Approval letters are FREE and available on our website at DoubleClose.com under the “Proof of Funds Request.”