Double close
Two closings back to back, usually the same day: you buy from the seller (A to B), then sell to your end buyer (B to C). Your profit stays private because each side sees only its own settlement statement.
Why it fits Norfolk
- Virginia has wholesaling rules for assignments; a double close is a common way to keep your fee private.
How it works
Wet (funded) double close
You pay for the A-to-B purchase with your own cash or transactional funding, the deed records to you, then you sell B-to-C. Accepted by most title companies and underwriters.
Dry double close
The end buyer's (C's) money pays for your A-to-B purchase in the same session. Many title companies, underwriters and lenders don't allow it, so ask first and get it in writing.
How to get transactional funding
- Transactional funding is a 1–2 day loan that pays for your A-to-B purchase and is repaid from the B-to-C sale.
- Lenders usually want: both signed contracts, the end buyer's proof of funds or loan approval, and a title company they approve.
- Typical cost is a percentage of the loan (often in the 1%–3% range) plus a flat fee, paid from your proceeds. Compare quotes.
- Line up the lender before you sign the end buyer: send the lender's requirements to your title company and confirm both closings can fund the same day.
Step by step
- Sign the seller contract (A-B) and the end buyer contract (B-C) for the same property.
- Pick a closer that does double closes (wet or dry) and tell them up front which one.
- For a wet close, arrange transactional funding (or your own cash) for A-B.
- Close A-B, record the deed, then close B-C right after; the B-C proceeds repay the funding and pay you.
What you need
- A closer that does double closes
- Transactional funding or your own cash (wet)
- An end buyer whose funds are ready the same day
Costs
Two sets of closing costs (and in some states two transfer taxes) plus the funding fee: budget it into your spread.
Watch out for
- Retail buyers with FHA loans may face "seasoning" rules on a property you owned for only a day.
- Some states treat repeated double closes as licensed activity; check the state rules.
- If B-C falls through after A-B closes, you own the house: only close A-B when C is ready.
