Hello guys wanted some opinions about double closing, when is the best situation
to double close? It seems to me it would be better to do it with larger deals, also how often are you all using this strategy in your deals?
We need to build a bigger buyers list. Because we are primarily funders we don’t do it often. Sometimes an agent will have a pocket buyer
Usually bigger deals that might have some due diligence issues. Be honest with the seller about what you’re doing and check if DCs are legal in your state.
There is a time and place for double closings, to be sure, but I tend to prefer a straight-up cash closing whenever I can. It’s just way cleaner and easier to maneuver.
But, that’s making the big assumption that we actually have the cash or funding to do it. When you don’t have the cash or can’t get the money at the right price, it’s one of your only options.
Haven’t done one yet but from what I’ve seen DCs are usually used as a form of risk mitigation typically because 1) margins are slimmer 2) some unknown factor that would make a cash close risky
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