I've contacted a bunch of title companies regarding double closing and one of them said you can do double closing, but full disclosure has to be disclosed. Meaning the seller and cash buyer will have to know how much you make. Does Double Closing still work in the State of California without the seller and cash buyer knowing your profit?
@Sharad M. Is doing this in cali, reach out to him he may know.
I thought a double close would stop you from revealing your profit margin on the contract but with due diligence anyone can find out it would be public record
@Bryce Calhoun You're right that a double close would prevent me from revealing my profit. But the title company said they want full disclosure, otherwise they won't do the transaction. Do you know any title companies in SoCal that you can refer to me that are doing it without disclosing?
You might try Premium Title Company of California www.mypremiumtitle.com
The problem in Calif is Civil Code 1695, buyers of equity. Without full disclosure, it is too easy to violate this code and the penalties are severe. Those escrow agents are saving your bacon.
IMO, always learn the rules before you try playing the game - - I had to learn this too.
We attended some seminars in Houston in early 20xx and got lots of information which was only partially true and some (like this and short sales) that was blatantly illegal. I was really interested in Texas Tax Liens only later to learn you have to be 1) a resident and 2) present to acquire such paper.
NA Beard That's good to know starting out. Do you know if you can wholesale real estate in Texas without full disclosure?
Escrow companies all have different rules and act like they are set in stone for all other companies. I've done double closes this year with no issues. I mostly do assignments as buyers don't care what you make and two escrows costs everyone more.
Call a local wholesaler who is doing deals and ask who they use. Simple as that.
I have called multiple escrow companies in socal and they have all said the same thing about the disclosure. Most of them say they can do It but only if all parties are informed.
@Edwin W. , there are Title Companies here in Houston that do double closings and blind HUDs.