Simultaneous Closing/Double Close

[Jamie Dzierwa]

So after reading different forum articles, some say that simultaneous closings and double closings with reos are the exact same thing. I was under the impression from what other wholesalers have told me is with double closings transaction A to B ( me & and the bank) has to be either cash or trans funding and transaction B to C has to be with cash, hard money, or a loan with no seasoning requirements. A simultaneous closing is when I would be using the end buyers cash to fund the A to B (me and the bank) transaction by wiring the money. So I would not need to use any cash or funding for this type of closing. I am just trying to figure out and clarify what is right and what is wrong.

Now this may sound like a dumb question, but I am just putting it out their...when doing a simultaneous closing obviously, I have to purchase the property from the bank first, now how do you get the end buyer to wire the money to the bank for me to purchase the property with the end buyers money? Is this something to where the end buyer has to know whats going on and that I am using his money to fund the deal? Do I tell him ahead of time? I am just trying to get a good solid understand and definition of how a simultaneous closing works. Also, when confronting attorneys with this type of closing, do I just be upfront and ask him if he does simultanous closings? or is there better ways of going about this.I've heard that many attorneys are not friendly when it comes to this.

Thanks,
Jamie

[Stephani Davis]

Hi Jamie,

I just wrote a post today on the Bigger Pockets blog that explains how a simul close is done. Not sure if you read it already: http://is.gd/37NDV

Let me know if you need further clarification..

Steph