Pros and Cons of Transaction Funding

[Harlen K.]

I was just curious about what other investors thought of Transactional Funding in their experience. The pros and the cons would be greatly appreciated! Thanks much.

[Jon Holdman]

If you're going to mess with short sales, keep in mind that until the lender has approved the deal, you have nothing. Getting an accepted contract with the seller is a step in the right direction, but its absolutely worthless without the lender's approval. That can take a month or a year. Until you have the lender's approval, there's little point in trying to market the property.

Also, don't hand over any earnest money until you get that approval.