Real Estate 4 Investing

Making Income Through Rental Property

  • Home
  • Investor Profile
    • Pre-Approval Form
  • Articles
    • Finance
    • Profitable Investment Properties
    • Real Estate Auctions
    • Real Estate Investing
    • Real Estate Investments
    • Real Estate Investors
    • Tampa Real Estate Investing
    • Taxes
    • Wholesale Real Estate
  • Videos
  • Properties
  • Testimonials
  • About
    • Investing in Rental Property
  • Contact
Home / Articles / Real Estate Investing / What You Need To Know About Double Closings

What You Need To Know About Double Closings

December 15, 2015 By Jorge Vazquez

What You Need To Know About Double ClosingsTo understand real estate wholesaling, you need to understand the mechanics of a double closing (also called a simultaneous closing).

Wholesalers earn a living in real estate by selling a large number of investment properties for a small profit, and double closings are often employed to quickly accomplish this task.

So, here is some important information about double closings.

What is a Double Closing?

In a double closing, a real estate wholesaler essentially acts as an intermediary broker or middleman. The wholesaler simultaneously purchases and sells an investment property, purchasing it from the original seller and selling it to the final buyer.

Through the process of a double closing, a real estate wholesaler makes a small profit for the service of locating a desirable investment property. And because both transactions (buying and selling) occur simultaneously, the wholesaler is not required to personally put cash in the deal, and can continue to use his cash resources to locate investment properties for clients.

Mechanics of a Double Close

In general terms, a wholesaler simultaneously buys and sells a property in a double closing, taking the proceeds from the sale to buy the property. The money left over after everything is finalized is the wholesaler’s profit on the deal.

From a mechanical perspective, double closings require all parties to be present in one place. Often the wholesaler and original seller will close in one room, and the wholesaler and final buyer will close in another room. A single title company traditionally coordinates both closings, and oversees the exchange of funds.

Considerations for Double Closings

Before rushing into a double closing, there are a few things you should keep in mind.

First, not all title companies do double closings; so make sure you have a title company that can perform double closings.

Second, double closings are traditionally conducted with the final buyer purchasing the property for all cash. Generally, mortgages are not acceptable for a double closing. So if the final buyer is going to finance the transaction, special care must be taken in structuring the deal.

Why Double Closings?

Double closings might sound like double work, but double closings can benefit all three parties: original seller, wholesaler, and the investor.

Investors and sellers find that double closings are a fast and efficient way to close deals. Since double-close deals are typically all cash and often without contingencies, they can close in just a few days.

Wholesalers also benefit from double closings, not just from the speed of the deal, but also because he doesn’t need cash to buy and sell investment properties.

Graystone Investment Group

Graystone Investment Group is an experienced Investment Group, wholesaling properties in the Greater Tampa Bay market.

Unlike other wholesaling groups, we find properties that we resell to investors at discount prices, while also connecting them with private financing. We also coordinate with rehab and management companies we’ve worked with for years, at no extra charge.

If you would like to learn more about high cash flow investment properties in the Tampa Bay metro area, please start by filling out our Investor Profile, or contact us direct.

headshot of Jorge VazquezLearn More About Real Estate Investing

The Graystone Newsletter will keep you informed with important information relating to real estate investing. The newsletter includes information we share with our clients about the best places to invest in real estate, the latest trends, and the information you need to know to succeed investing in real estate.

Real estate investors, wholesalers, flippers, real estate agents, and everyone connected to the real estate industry will benefit from the wealth of information we share very month.

For more information about how we process your data, please click here to read our Privacy Policy.

Disclaimer:
REALESTATE4INVESTING.COM IS A WEBSITE OF GRAYSTONE INVESTMENT GROUP, A SUBSIDIARY OF GRAYSTONE INVESTMENT GROUP. YOU ARE HEREBY NOTIFIED THAT NEITHER GRAYSTONE INVESTMENT GROUP LLC, NOR ANY OF ITS EMPLOYEES OR SUBSIDIARIES, REPRESENT YOU IN ANY CAPACITY. YOU SHOULD NOT ASSUME THAT GRAYSTONE INVESTMENT GROUP LLC OR ANY OF ITS EMPLOYEES OR SUBSIDIARIES IS A REAL ESTATE BROKERAGE. WE ARE A WHOLESALER, AND ALWAYS ACT AS A SELLER OR ASSIGNOR ON EVERY TRANSACTION.

Want To Learn More About Real Estate Investing?

Sign up for our newsletter, and you'll receive our newest articles!

By clicking this button, you consent to receive emails, calls, and text messages about our products and services at the email address and phone number you provided. You agree that such calls may be made using an automatic telephone dialing system, they may be considered telemarketing or advertising under applicable law, and that you are not required to provide your consent to these calls to make a purchase from us. For more information about how we process your data, please click here to read our Privacy Policy.

Recent Articles

  • What Does a Realtor Do for the Home Seller?
  • What is a Mortgage?
  • Pros and Cons of Paying Off a Mortgage Early
  • How Do Interest Rates Affect the Housing Market?
  • How Long Does It Take to Buy a House?

Get Started Right Now!

Get started investing in real estate with Graystone Investment Group.

For more information about how we process your data, please click here to read our Privacy Policy.

Graystone Investment Group
3001 N Rocky Point Dr
Suite 200

Tampa, FL 33607 USA
(813) 449-4323
phone Graystone Investment Group Call (813) 449-4323
Subsidiary Brands:
Graystone Acquisitions
Graystone Real Estate
Homes4Income.com
Rental4Income.com
RealEstate4Investing.com
Accessibility
Terms of Service
Privacy Policy

Categories

  • Articles
  • Finance
  • Market Reports
  • Profitable Investment Properties
  • Real Estate Auctions
  • Real Estate Investing
  • Real Estate Investments
  • Real Estate Investors
  • Recent Properties
  • Tampa Real Estate Investing
  • Taxes
  • Testimonials
  • Uncategorized
  • Videos
  • Wholesale Real Estate

Recent Posts

  • What Does a Realtor Do for the Home Seller?
  • What is a Mortgage?
  • Pros and Cons of Paying Off a Mortgage Early
  • How Do Interest Rates Affect the Housing Market?
  • How Long Does It Take to Buy a House?
Investor Profile | Private Lender Profile | Client Evaluation | Rewards Program
Recent Properties | Pre-Approval Form | Legal Notice | Terms of Service | Privacy Policy
© 2023 GRAYSTONE INVESTMENT GROUP, ALL RIGHTS RESERVED. THE Real Estate 4 Investing LOGO AND BRAND IS THE PROPERTY OF GRAYSTONE INVESTMENT GROUP LLC
DISCLAIMER: REALESTATE4INVESTING.COM IS A WEBSITE OF GRAYSTONE INVESTMENT GROUP LLC. YOU ARE HEREBY NOTIFIED THAT NEITHER GRAYSTONE INVESTMENT GROUP LLC, NOR ANY OF ITS EMPLOYEES OR SUBSIDIARIES, REPRESENT YOU IN ANY CAPACITY. YOU SHOULD NOT ASSUME THAT GRAYSTONE INVESTMENT GROUP LLC OR ANY OF ITS EMPLOYEES OR SUBSIDIARIES IS A REAL ESTATE BROKERAGE. WE ARE A WHOLESALER, AND ALWAYS ACT AS A SELLER OR ASSIGNOR ON EVERY TRANSACTION.
Internet Marketing by Image Building Media.