transaction funding

[Tevin Swain]

Hello everyone , i have been getting the run around for this particular question and it is quite frustrating so i will try to make my question as simple as possible? is Transactional funding a good idea to use when making an all cash offer on REOS and HUD properties? And if possible can anyone explain a proper scenerio or an example of how its used?

From my understanding Transactional funding can be used when a wholesaler wants to make a cash offer but does not have the actual funds or liquid cash in his or her actual bank account. Than after the TFS are used to get the property under contract the property can than be sold or exchanged ( i plan to use an LLC) . The investor will than pay the actual cash to buy the property. Is the this the correct scenario?