Breaking Down The Double Closing Wholesale Strategy

Pros Of Double Closing

Double closings are an important tool for investors to have at their disposal. Here are some of the most important reasons it’s good to know how to conduct a double close

  • A double closing gives real estate investors optionality. If assigning a contract won’t work, the ability to facilitate a double closing makes the possibility of a deal transpiring much more likely.

  • In most states, a double close is treated just like a traditional close, which doesn’t require a licensed real estate agent.

  • Wholesalers do not need to disclose prices to the end buyer because it is an entirely different transaction.

Cons Of Double Closing

Double closings aren’t without their drawbacks, not the least of which include:

  • As their names suggest, double closings represent twice as much work. Investors will, quite literally, close two separate deals, calling for twice as much work.

  • Double closings can be stressful, as there are multiple chances for indecisive parties to back out of a deal.

  • Double closings are illegal in some states, so it’s important to check with local laws before moving forward with this strategy.

  • Since double closings aren’t common, investors will come across closing agents who either don’t know how to do them or simply won’t do them at all.

  • Since double closings have a lot of moving parts, it can be hard to align schedules for everyone involved in a deal.

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Disclaimer: The information contained herein was pulled from third party sites. Although this information was found from sources believed to be reliable, FortuneBuilders Inc. makes no ...

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