Virginia Wholesaling Questions

[Samuel Hopkins]

My title company has told me that it is impossible to do a simultaneous closing using only the end-buyers’ money to fund the transaction on a wholesale deal as they say it is considered a “dry closing” and is illegal in the state of Virginia.

Someone from the title company also told me that there is a limit on the number of assignment deals that you can do before you are forced to get a real estate license or it is considered brokering without a license.

Are either of these claims true?

[Patti Robertson]

@Samuel Hopkins - Aha - Are you closing with an investor friendly attorney?   In Virginia we are not required to disclose the other side’s data on the closing statement.  Most closing agent’s do, because it is easy.  Ask your closing agent to provide just the Seller’s side to the Seller, if you are closing at the same place.  I’ve only had a handful times the Seller wanted to close someplace else.  You can also joke with the seller and say - so I just want to confirm, you are happy with taking 15 cows for this property.  If I end up selling it for 100,000 cows, you aren’t going to be upset with me are you?   This will make them laugh and then you have their permission to make a boat load of money on the sale - but in our closings the Sellers don’t have any idea what our numbers are. It’s not relevant.  I’ve already disclosed in my contract that I may assign it, and I’ve disclosed that I am buying it for a profit.  Disclose, disclose, disclose and just run your business. Sellers really just want it behind them.  If they wanted the most money they would have listed it.