Transactional Funding For Wholesaling

Before we get started explaining Transactional Funding please note that Transactional Funding IS NOT the same thing as a hard money loan from a private lender.  Many beginners, and a lot of our new students confuse hard money loans and Transactional Funding.

They are NOT the same thing. A hard money loan is when you are borrowing money for the purpose of purchasing a property to fix and flip. For a hard money loan you will typically be required to put down 10% to 20% of the purchase price and you will need to have the repair money available to fix up the house. You will also need to pay points, fees, closing costs, insurance and prepaid interest.

Hard money loans are high interest rate short term bridge loans for a term of no more than 12 months. The goal is to borrow the money, buy the property, make repairs to the property (with your cash), and sell the house and pay off the hard money loan. The loan term for a hard money loan is 12 months. We DO NOT offer our Partnership Program Students Hard Money with our Partnership Program. We DO NOT offer repair money. We DO NOT offer to partner with you on rehabs or fix and flips. What we DO OFFER is  Transactional Funding.

Transactional funding is a same day loan for when you are wholesaling/flipping a property (and not keeping it). Instead of assigning the contract you are DOUBLE CLOSING and it’s very important that both the purchase of the property and the resale of the property both occur on the same day. Once again, in order for your deal to be funded by us, both closings MUST BE on the same day at the same Title Company (Independence Title).

The purpose of transactional funding is for you to have a way to pay for the property before you wholesale/flip it to another investor. We can do this for you but in order for us to fund your deal, your second closing MUST be on the same day as the first closing and your second closing must be signed by the end buyer and funded (wire sent and received by the Title Company). Additionally, both closings MUST happen at the same title company (Independence Title).

The purpose of Transactional Funding for our Partnership Program Students is that WE CAN FUND YOUR DEALS and you don’t have to come up with the money to pay for the purchase of the house. There are some exceptions though (listed below).

  1. We won’t fund your deal if you don’t use the Title Company that we recommend (Independence Title
  3. We won’t fund your deal if the second closing is not signed and funded BEFORE we fund the first deal (no exceptions).
  4. We won’t fund your deal if both closings are not signed and funded on the same day (no exceptions)
  5. We won’t fund your deal if we cannot physically see the property to make sure we are okay with the property condition.
  6. We won’t fund mid & high end flips. Our investors are looking for entry level homes. That is what we fund. Please check with us first.
  7. We reserve to choose not to fund a deal if we think the price is too high, do not like the property, or for any other reason that we choose.
  8. Transactional funding rates are subject to change at any time. Higher priced deals will require higher fees since there is more risk. We don’t like funding deals over a certain price limit and may have to refer those deals to a third party transactional funding company. We cannot guarantee or quote the rates for third party transactional funding companies. Rates vary by the deal, the price, the repairs and the risk and parameters of each deal.

If you are wholesaling a property and you have a signed contract and are wholesaling the property to an end cash buyer, then if you don’t have the cash in your account to fund the buy, you might need to use our Transactional Funding. Please note that you DO NOT need to Partner with us on the deal for us to fund your deal. Transactional funding is perfect for foreclosures, REO’s, (bank owned properties) and short sales (with no deed restrictions) that you are wholesaling to an end buyer. Remember on short sales to make sure there are no deed restrictions since you can’t flip those. In order to make sure we have no issues, we make sure that there is a free and clear marketable title and we do not fund anything with open permits, any liens, code enforcement violations or building violations.

Please note that it is a lot easier to assign a contract that it is to schedule a double closing. However, since banks do not allow assignable contracts on bank owned properties, the only way you can wholesale/flip bank owned properties is to schedule a double closing (two closings). That means you have to pay the closing costs to purchase the property before you can sell the property to someone. And the title company needs to know what they are doing (which is why we insist on using our title company).

In order to purchase the property from the bank (or seller) for the first closing you will need to have a source of funds to pay for the purchase. This is where Transactional Funding (also known as same day funds) is needed. I use my own funds to provide access to Transactional Funding to all of our students in our Partnership Program and Real Estate Coaching programs for deals located anywhere in the State of Florida. We fund deals in Florida ourselves with our own money. We ONLY Fund deals in Florida and do not fund deals in other States. We will not fund your deal if you are not a current active member (paying the monthly fee )of our Partnership Program.  We will not fund outside of the State of Florida regardless of whether or not you are a student. If you have a deal that needs transactional funding, please submit all of the details of the deal including the purchase and sale contract for both sides (AB closing and BC Closing), proof of deposits for both sides and any title work that has already been completed to us.  If you want your deal to go smoothly and if it is in the State of Florida we highly recommend that you use our preferred title company which is Independence Title for BOTH closings. Please note that we need at least 3 weeks prior to the closing date to prepare your file. Please scan and send all documents via email to

In order to ensure that your deal can be funded we need to review it and make sure that it meets our funding criteria. We absolutely DO NOT GUARANTEE that we will fund your deal and we reserve the right to not fund any deal that we don’t want to fund (for any reason).

In the State of Florida, the preferred title company is Independence Title


if you have a contract with the bank to purchase a bank owned property at $170,000 (first contract). This is known as the A-B transaction or what we call the first side or first closing.

Let’s say you market this property to your cash buyers (or you ask us to market it to our cash buyers) and you find a buyer (or we find a buyer) at $180,000. You sign a contract with this buyer to purchase the property with you being the seller and them being the buyer for $180,000. This is the second contract which is known as the BC closing or what we call the second side or the second closing.

The difference between the purchase price on the first contract and the purchase price on the second contract is your gross profit. After deducting closing costs for both closings and your Transactional Funding fee, the balance is your net profit which is what you will received at the closing (cashier’s check or wire).


Since there are two contracts there are two closings. This means you will pay double closing costs. There are ways to avoid paying double closing costs like using an entity such as a Land Trust or an LLC or corporation. There are advantages and disadvantages to using these methods and some banks do not allow you to use these entities (depending on which bank it is). Our preferred method of double closing that we recommend for our students is the Land Trust (buyers name is the land trust for example 123 Main St Land Trust is the buyers name if the property is located at 123 Main St). DO NOT USE YOUR PERSONAL NAME.

What if the bank insists on using their title company?
That may be ok for the A to B closing on an REO but could pose a problem for a short sale. You will only get transactional funding if you use one of our preferred title companies for the second B to C closing. In some cases like with short sales it is advisable to have both closings at the same title company. We recommend that all closings including REO’s be at the same title company.

What do I do if I find an end buyer?
You should always take a deposit from your end buyer that is at least twice the amount of your initial deposit and you should always only accept cleared funds (wire only no checks) directly to one of our preferred title companies. It is your responsibility to provide both contracts to us at least 3 weeks before closing and to make sure the title company receives all paperwork and deposits and to clearly label all wires with the property address. It is also your responsibility to communicate with us about the deal. Do not assume we will fund your deal if we have not reviewed it or are not aware of it. It is your job to communicate with us. Don’t assume the Title Company is.

Can you help me find a cash buyer for my deal?
Yes, if you are enrolled in the Partnership Program then we can help you find cash buyers for your wholesale deals. We specialize in this and we have had more than 6,000 students trained via our Partnership Program. If you are new to wholesaling or are trying to learn how to put together your first deal then our recommendation to you is that you CANNOT AFFORD TO MISS the Wholesaling Real Estate Boot Camp since we will spend 3 days showing you everything you need to know in order to be able to wholesale a property.

The biggest benefit of the Partnership Program is that we can give you a proof of funds letter and we can find you a cash buyer for your deal. Having us there to deal with the title company and your first closing is something you will really appreciate when you are working on closing your first deal.

We can find you cash buyers and we can arrange transactional funding for your deals. If WE find a cash buyer for your transaction and you are in the Partnership Program then we will split the profit with you 50/50. Many of our cash buyers are looking for good investment properties to fix and flip and good rental properties to fix and rent out. There is also a huge opportunity right now to buy bank owned properties and sell them to first time home buyers. Cash buyers call our office every day. The highest demand for housing exists at the lower price points of the market since there are first time home buyers and cash investors looking to buy these properties. These lower priced affordable homes are perfect for landlords that want rental properties and for investors that want to fix and flip properties. We have many cash buyers for these types of properties. So keep that in mind when you are looking for properties. Investors want cheap houses. And we like cheap houses. We do not want to fund high end deals. You should be looking at houses that are below the median price of a house in your County.

What areas are best for you?
We will provide transactional funding for properties that are located anywhere in the State of Florida. We have tens of thousands of cash buyers looking for properties all over the State of Florida.

How does the Partnership Program Work?
Please visit the following link to learn more about the Partnership Program The Partnership Program is an add on with a monthly fee which is sometimes offered together with the Wholesaling Real Estate Boot Camp. As mentioned above, if you are a new investor looking to learn how to wholesale or put your first deal together then the combination of the Partnership Program and Wholesaling Real Estate Boot Camp is something that you CANNOT AFFORD TO MISS. There is no other program like this in the entire country that will help you find a deal, find a buyer for it, and fund it. If you are located in Florida this is a slam dunk.

How does the Inner Circle Work?
Please visit the following link to learn more about our Wholesaling Real Estate Inner Circle:

If you would like transactional funding for your deal first email and make sure that we are willing to fund your deal (we need at least 21 days prior to closing). If you would like information about our transactional funding rates please email and ask for our current transactional funding rates.

If you do not have the B to C contract with one of our preferred title companies then we will NOT fund your deal (no exceptions). Also we reserve to not fund any deal at our own discretion if we feel that the transaction has too much risk, is too high priced, or if we don’t like the subject property or neighborhood, or comps or the amount of repairs the property needs. What you may think is a good deal to us may not be a great deal. We only fund slam dunk deals. If you would like us to fund your deal and we have agreed to fund your deal, then please submit the following documents to us via email:

Please scan and email to

If you have any questions about transactional funding, double closings and funding your wholesale deals please call our office at (561) 948-2127 or you can email your support questions to