Double Escrow Question
I've been calling attorneys and a few of them have said when you do a double close i have to bring cash to the table as well as the end cash buyer.
So if the property is 50k and I'm flipping it for 60, I would have to bring 50 to closing and the cash buyer would bring 60 and I would walk away with 60k (including the 50k I brought)
Is that correct or should i keep looking for attorneys?
Most Popular Reply
That is correct, you must bring "wet funds" to close your A- B transaction then the end buyer funds the B-C transaction with their funds. If your escrow is $50k plus closing costs, you bring that much (you can bring cash or borrowed funds) and your C buyer brings $60k plus closing costs. You net just under $10k (after considering closing costs) and even less if you borrow.