Wholesale assignment fee more than 20K

[Lala Mala]

Hi BiggerPockets community,

If my assignment is more than 20K I should be double closing right? I know double closing also eats up the fees. Are there any other ways to do assignment if is higher? 

[Jay Hinrichs]

Quote from @Lala Mala:

Quote from @Jesse LeBlanc:

@Lala Mala You can still assign.  Obviously the more transparent you are from the start with your sellers, the less problems you'll have at closing.  They know they are selling for a discount, and they know you're a for profit business.  

However, some folks never disclose this or are transparent and worry about their fee.  $20,000 fee on a $20,000 house might be different from a 20,000 fee on a 1M property but at the end of the day if it's solving the sellers problem and they are happy with the purchase price and everyone knew what everyone was doing, there should be no problem.

Yes, you can still double close, you'll just have to pay for your own closing costs.  Depending on who you're working with and what state, it might only be 750-1500 in costs generally.  Then depending on where your deal is, the closing company you use and the scenario you face, you may or may not have to bring your own funds or use a Transactional Lender like me to fund the AB side.  

So weight all of your options, don't stress over it, keep everyone happy and keep it moving.  don't over think it.

Thank you! I will definitely contact you in the future for transactional funding.

not in washington seller pays 1.3 to 2.0 %  of the gross sales price in seller paid transfer tax.. so a 500k house can have 7 to 10k in transfer tax alone.