End-buyer financing is the purchase capital your wholesale buyer needs to close — whether you assign the contract or double close. Below covers loan programs and what we underwrite on the buyer. For the full wholesale pipeline, see wholesale deal financing. When the buyer’s lender already failed, go to wholesale buyer can’t close — not back to square one.
End-buyer financing vs. other wholesale tools
| Tool | Leg | Purpose |
|---|---|---|
| Proof of funds | Offer / vetting | Credibility — not a loan commitment |
| EMD funding | A-leg contract | Earnest money wire |
| Transactional funding | A-leg double close | Same-day A-B purchase capital |
| End-buyer financing | B-leg | B-buyer’s acquisition or hold loan |
| Second Look | B-leg rescue | When lender #1 declined or backed out |
When end buyers need financing
- Assignment: Buyer purchases from you — needs full acquisition loan
- Double close B-leg: Buyer closes B-C while transactional funds A-B
- Novation-style exits: Buyer refi or purchase after your contract position
Each requires asset-based underwriting on the buyer’s entity, the property, and the exit.
Products by buyer exit plan
| Buyer plan | Typical product | Underwriting focus |
|---|---|---|
| Fix-and-flip | Fix-and-flip hard money | ARV, LTC, scope, resale exit |
| Light value-add | Bridge or hard money | ARV, hold period, refi or sale exit |
| Long-term rental | DSCR | Coverage, LTV, rent support |
| BRRRR | Bridge → DSCR refi | Stabilization timeline |
| Double close B-leg | Hard money or DSCR | Same-day coordination with A-leg |
All programs use asset-based underwriting on the property and exit — not owner-occupied DTI. Program basics: fix-and-flip loan requirements · DSCR loan for investment property · bridge loans for real estate investors.
What we underwrite on the end buyer
- Property type, condition, and location
- Purchase price vs. ARV or rent (flip vs. rental)
- Buyer liquidity and experience
- Timeline to close on your A-side contract
Wholesalers: include A-side deadline on every submission — your spread dies on the seller clock, not the buyer’s.
Coordinating with A-side timeline
Every end-buyer submission should include:
- A-side contract expiration date
- B-side assignment or double-close structure
- Whether transactional funding is needed on A-leg
Complete fix-and-flip and bridge B-leg files close in 7–10 business days. A DSCR purchase for a buyer who will hold the rental closes in about 14 business days. Call (833) 264-7776 when the A-side expires within 48 hours. A 10-day seller deadline usually fits hard money or bridge, not a first-pass DSCR close.
New file vs. rescue — which path?
| Situation | Where to go |
|---|---|
| Buyer not yet declined — new B-leg purchase | What kind of loan do you need |
| Buyer declined, leverage cut, or lender backed out | Wholesale buyer can’t close → Second Look submit |
| Wholesaler submitting for buyer | Wholesaler Second Look |
Rescue underwriting starts where lender #1 stopped — upload the original term sheet on Second Look. Product-specific failure guides: hard money loan denied · DSCR loan denied · hard money lender backed out.
Vet end buyers before assignment
Reduce B-leg failures with lender-verified proof of funds. Full vetting workflow: wholesaler proof of funds. POF is not approval — it confirms the buyer has a credible capital path before you assign.
Worked example — assignment B-leg (Columbus SFR)
| Line | Detail |
|---|---|
| A-side contract | $118,000 purchase — wholesaler spread $14,000 |
| Buyer plan | Cosmetic flip — 90-day hold |
| Product needed | Fix-and-flip hard money at ~88% LTC |
| First lender | Declined on experience tier |
| Rescue | Second Look at 82% LTC — buyer adds $6,800 cash |
| Close | Day 9 from rescue submission |
Wholesaler included A-side expiration and original term sheet on submission — the two fields that most often delay rescue review.
When end buyers need DSCR vs. hard money
| Buyer says | Verify before assign | Product |
|---|---|---|
| ”I’ll flip in 6 months” | ARV comps + scope | Hard money / fix-and-flip |
| ”I’ll hold and rent” | Market rent + insurance | DSCR or BRRRR bridge |
| ”BRRRR” | Stabilization timeline | Bridge now, DSCR at refi |
| ”STR / Airbnb” | Product allows STR income | Confirm before marketing deal |
Mismatch between buyer plan and submitted product causes most preventable B-leg declines.
Loan type comparisons for end buyers
Before you assign, confirm product fit: hard money vs conventional investment · compare lenders hub
Business-purpose credit, and why the buyer’s W-2 is not the file
End-buyer loans on investment property are underwritten as business credit. The 2024 Code of Federal Regulations text of 12 CFR 1026.3(a) exempts an extension of credit primarily for a business, commercial, or agricultural purpose. It also exempts credit extended to someone other than a natural person, which is why an LLC borrower is a different file from a consumer mortgage.
That exemption is not a slogan you can print on an assignment. Purpose and occupancy are facts. A buyer who will live in the house is not a business-purpose end buyer. Jaken Finance Group finances non-owner-occupied investment property. If the buyer’s plan is to move in, stop the assignment and send them to an owner-occupied lender.
The same regulation’s dollar-threshold exemption does not apply to credit secured by real property. Do not tell a buyer that “the loan is over the threshold, so disclosures disappear.” Classification follows purpose and who the borrower is. The closing side confirms it on the file.
Assignment package versus double-close package
The lender’s title commitment has to match the contract the seller signed. These are the pieces that differ.
Assignment. The original purchase contract, the assignment agreement, and a clear statement of the assignment fee. The end buyer’s loan is based on the price the buyer is actually paying, fee included, not on the wholesaler’s lower contract price. If the fee is hidden until the settlement statement, leverage math gets redone at the worst moment.
Double close. The A-leg and the B-leg are separate deeds. Transactional funding, if used, covers the A-leg only. End-buyer financing is the B-leg loan. The B buyer’s lender needs the B contract, the B title order, and enough time to fund after the A deed records. Same-day A-then-B funding has to be scheduled with both title teams, not assumed.
On either path, send the A-side expiration date, the buyer’s exit (flip, rental, or both), and proof the buyer has reserves beyond the down payment. Proof of funds shows a capital path. It is not a commitment to lend.
A wholesale calendar that fits the product
Illustration. The seller’s contract expires 16 calendar days after you accept the assignment. Day 0 is the assignment.
| Day | Fix-and-flip buyer | DSCR hold buyer |
|---|---|---|
| 0 | Application, contract, scope, assignment fee disclosed | Application, contract, rent support, entity docs |
| 1–2 | Appraisal or broker price opinion ordered, insurance quote | Appraisal and landlord policy ordered |
| 3–8 | Title, budget, liquidity cleared | Lease review and coverage test |
| 7–10 business days | Typical hard-money or bridge funding window | Still inside underwriting |
| About 14 business days | Already closed if the file was complete | Typical DSCR funding window |
A 16-calendar-day seller deadline can work for fix-and-flip or bridge at Jaken Finance Group, which close in 7–10 business days on a complete file. It is tight for DSCR, which closes in about 14 business days and still needs the appraisal and the rent story. If the buyer’s real plan is to hold, either extend the seller or fund the purchase on bridge and refinance to DSCR after the lease.
Qualified fix-and-flip leverage goes up to 100% of cost and is capped at 75% of after-repair value. DSCR purchase leverage goes up to 85% in select markets for qualified borrowers. Cash-out later is capped at 80%. Price the exit with the DSCR calculator before you market the deal as a rental.
What the buyer’s future refinance will not do
Some end buyers plan to refinance conventionally in a few months and pull the assignment fee back out. Fannie Mae B2-1.3-03 (December 10, 2025) blocks that shortcut.
Someone on the new loan must have been on title for six months. A first mortgage being paid off must be 12 months old, note date to note date. Delayed financing requires a purchase that used no mortgage. An end buyer who closed with hard money cannot use that exception. Gift funds used to buy cannot be reimbursed from conventional cash-out proceeds.
If the buyer’s hold plan depends on a fast conventional cash-out, the plan is wrong. The workable hold exit is DSCR, including a no-seasoning cash-out when the property supports it. Read DSCR cash-out refinance with no seasoning before you promise the buyer that equity.
Fannie Mae B2-2-03 (November 5, 2025) also stops many portfolio buyers. Desktop Underwriter investment loans cap financed properties at 10, and a financed primary residence counts. A buyer who is already at that cap needs DSCR or hard money, not another conventional pre-approval letter.
Select Jaken Finance Group programs have no minimum FICO. The file still needs a credible exit, liquidity, and a property that supports the loan. Experience denials, like the Columbus example above, are leverage and reserve problems more often than score problems.
Rates on the two products stay in their own bands: fix-and-flip and bridge at 8.99%–13.5%, DSCR at 5.75%–10.5%. Do not quote one band for the other when you text the buyer.
Title, insurance, and the fee inside the price
The buyer’s lender will not fund a title file that still has an open lien, an estate, or a seller who is not the owner of record. Order the title commitment when you sign the A-side contract. Curative work stays your problem while you control that contract. It becomes the buyer’s delay if you assign a dirty file and disappear.
Landlord insurance must name the borrowing entity and the lender. The seller’s homeowner policy does not transfer. Order the buyer’s quote when the buyer is known, not the afternoon before funding. Fix-and-flip and bridge files that should close in 7–10 business days often miss that window on insurance, not on rate.
Count the assignment fee in the price the lender uses. The Columbus example above is an $118,000 contract and a $14,000 spread. The buyer’s acquisition cost is $132,000. Leverage is calculated on what the buyer pays. A fee that appears for the first time on the settlement statement forces a new loan amount and can miss the seller’s date.
DSCR buyers need about 14 business days plus a rent story. Do not assign a rental buyer into a 10-day close and hope the clock bends. Bridge the purchase, then refinance. Program detail is on DSCR loans and bridge loans for real estate investors.
New end-buyer file: What kind of loan do you need · Rescue: Wholesale buyer can’t close · Quick link: jakenfinancegroup.com/rescue