Double Closing - What Length Of Time?
What is the maximum length of time a double closing can be stretched out? Does it have to be the same day? Or it can be stretched out over a few days. What happens to the tittle insurance the my seller is giving me? I just want to avoid giving title ins to my buyer and paying for it within a week.
How do I proceed if the buying on my part and selling to another party is stretched over 5 days?
It can be stretched out a few days due to the magic of escrow. Why do you want to stretch it out? Write the Contract so that the Seller pays for a "Hold Open Policy" of title insurance (it may be called something else in your state). If the property is resold within a year (two years in some states), the same policy remains in effect, thus saving you from having to get title insurance (since you are reselling to your Buyer in a short period of time). It costs about 10 percent more than a normal policy.
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"A deal is only as good as the quality of your Contracts." --Me[ Edited by LeaseOptionKing on Date 02/25/2008 ]
I am closing on an REO house this coming Friday. My buyer can only close the following Friday.
hardest problem I see is finding the investors.
Does it scale? You have to start adding more and more people as the property count increases.
Yes. I plan on having a sliding scale for the cost of the different projects. I have some more people lined up in case the property count increases. As an investor do you think this is attractive?
By "all the money due" do you mean your share of the profit, Realtor commissions, rehab costs, all of the above, or what?
If I could just buy a house and someone would rehab and sell it for me for a third of the profits, putting up the additional money needed, that would indeed be a great service- assuming they were capable of keeping the rehab costs in line so that there was a profit to split...
Chris
You will have to convince the investor that you will not compete against him when you get your funds built up. If you provide a service that has value and you have a strong building background that will always have value in this industry. Run a few small ads of what your service is about in the Sunday paper (most investors read the Sunday paper) and see what happens. Good luck