100% Transactional Funding
for Wholesalers who purchase and quickly re-sell a property the same day
Transactional Funding is a short term loan provided to wholesalers who purchase and quickly re-sell a property the same day. This is often called a “Double Closing”. The seller of the property is typically called “Party A”. The wholesaler is typically called “Party B”. The end buyer of the property is typically called “Party C”. Transactional Funding deals are also sometimes called “A-B – B-C” Transactions.
When is Transactional Funding Needed?
Our clients use our Transactional Funding Service for three basic reasons:
1. 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).
2. The wholesaler is choosing not to assign the contract in order to maximize their wholesale markup. Many times end buyers will not purchase a property if the assignment fee is too high. You do not have to disclose your contract details to the end buyer when you utilize Transactional Funding.
3. The wholesaler needs to stay in compliance with State laws that do not allow assignment of contracts.
How quickly can you fund a deal?
We can fund deals as quickly as the same day if all required documentation is provided from both our client and the title agent or closing attorney. However, we prefer to receive your submission and documentation once you have obtained your B to C Contract and you are ready for title to be started.
Are There Minimum and Maximum Funding Amounts?
We have no minimum funding amount.
The maximum funding amount is $1,000,000
What are your Transactional Funding Fees?
- 1% of the purchase price of the property (minimum fee of $750)
- There are NO UPFRONT FEES, NO ADDITIONAL FEES, and NO FEES if the transaction does not close.
Is Credit a Factor to Obtain Transactional Funding?
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.