Search for transactional funding double close or same day double close funding and most results explain the concept without telling you what a lender actually requires to wire. This page covers both: how A-B / B-C transaction funding works mechanically, what it costs, what can kill it, and what Jaken Finance Group needs in the file before closing day. When you are ready, request transactional funding directly.
One boundary up front, because it defines the product: Jaken Finance Group funds double closings where both closings occur at the same title company on the same day. If your A-leg and B-leg are days apart, that is a short bridge hold — related, but underwritten differently.
What transactional funding is
A double closing is two back-to-back sales of the same property. On the A-B leg, you buy from the original seller. On the B-C leg — hours later, same settlement office — you sell to your end buyer at a higher price. Your profit is the spread between the two contracts, minus closing costs and the funding fee.
The problem is sequencing. You must bring the full A-B purchase price to the morning table before your end buyer’s money arrives at the afternoon table. Transactional funding exists for exactly that gap: the lender wires the A-leg purchase amount, you take title, you convey to the end buyer, and the lender is repaid out of B-C proceeds before your spread disburses. The capital exists for hours. There is no monthly payment, no rehab draw schedule, and no long-term lien — which is why it is priced as a flat per-transaction fee rather than an interest rate.
Why investors double close instead of assigning
An assignment is cheaper — you sell your contract position for a fee and never take title. So why pay for a double close?
- Fee disclosure. On an assignment, your fee appears in the paperwork both parties see. In a double close, the A-B and B-C legs settle as separate transactions; a $30,000 spread does not sit on the assignment line where a seller or end buyer can renegotiate against it.
- Contract restrictions. Many bank-owned, auction, and institutional contracts prohibit assignment outright. HUD and some hedge-fund sellers will not honor an assigned position — taking title is the only path.
- End-buyer requirements. Some end-buyer lenders will not fund a purchase from an assignor who never owned the property. A recorded deed in your name resolves the chain-of-title question.
- Large spreads. Assignment fees above roughly $15,000–$20,000 tend to invite pushback. Double-close costs are worth paying when the spread is large enough to absorb them.
State law matters too: several states now regulate how many assignments an unlicensed wholesaler can do, which pushes volume operators toward taking title. See the Illinois wholesaling rules and the DMV wholesaling compliance guide for two very different regulatory landscapes.
Assignment vs. double close vs. wholetail
| Factor | Assignment | Double close | Wholetail |
|---|---|---|---|
| Take title? | No | Yes — for hours | Yes — for weeks to months |
| Fee visible to parties | Yes, on the assignment | No — two separate settlements | N/A — standard resale |
| Capital required | EMD only | A-leg price (transactional funding) | Purchase + light rehab (hard money) |
| Best when | Small fee, assignable contract | Big spread, anti-assignment clause, privacy | Property retails near ARV with minimal work |
If your exit is the third column — buy, clean up, relist on the MLS — that is a different capital stack; see wholetail financing with hard money.
How the money flows through title
Everything runs through one settlement agent, which is why Jaken Finance Group requires both closings at the same title company:
- Before closing day, the title company holds both contracts, has cleared title on the A-leg, and has received the end buyer’s closing funds or lender instructions.
- Morning: Jaken Finance Group wires the A-B purchase amount to the title company’s escrow account. The A-B closing records; you hold title.
- Same day: the B-C closing executes. The end buyer’s funds land in the same escrow.
- Disbursement: the title company repays the transactional loan plus the funding fee first, pays both sides’ closing costs, then wires you the remaining spread.
The funds never pass through your personal account. That protects everyone — the lender’s repayment is a disbursement instruction on the settlement statement, not a promise.
What the lender needs in the file
Approval is transaction-driven. Credit is reviewed, but the strength of the file is the B-C leg — the end buyer’s money is the repayment source. Expect to provide:
- Both executed contracts — A-B and B-C, with matching property, dates, and access to any amendments
- End-buyer proof of funds — a bank statement or verifiable POF letter for cash buyers, or a firm lender approval if the end buyer is financing
- Title company contact — the settlement agent coordinating both legs, plus the title commitment showing a clear A-leg
- Your entity documents — the LLC or corporation taking title on the B position
If your earnest money is also tied up across other contracts, EMD funding covers the deposit side of the same pipeline — it is the companion product to transactional funding for operators running multiple contracts at once.
Worked example: $150,000 A-leg, same-day exit
An Indianapolis wholesaler contracts a vacant SFR from an out-of-state heir at $150,000, then contracts a local flipper on the B-C leg at $172,500. The seller’s estate attorney struck the assignment clause, so a double close is the only execution.
| Line item | Amount |
|---|---|
| A-B contract price | $150,000 |
| B-C contract price | $172,500 |
| Gross spread | $22,500 |
| Transactional funding fee (1.5% of A-leg) | ($2,250) |
| A-B closing costs | ($3,100) |
| B-C closing costs | ($3,400) |
| Title and settlement fees | ($1,200) |
| Net to wholesaler, same day | ~$12,550 |
The alternative was bringing $150,000 cash to the table for six hours — or losing the deal. Note the math discipline: the B-C price must cover the A-B price, the funding fee, and both sets of closing costs before anything is a profit. If the spread had been $8,000 instead of $22,500, the transaction costs would have consumed most of it, and an assignment (where permitted) would have been the better structure.
Timeline
Transactional files move faster than any other product Jaken Finance Group offers because there is no appraisal, no rehab budget, and no long-term underwriting — but they are unforgiving on coordination. Submit the funding request as soon as both contracts are signed, not the week of closing. The file is typically clear to wire once the title commitment is issued and the end buyer’s funds are verified; the constraint is usually the title company’s scheduling of two back-to-back closings, not the lender.
The honest risk: your end buyer
Every risk in a double close collapses into one question: does the C money actually show up? If the end buyer’s wire fails — cold feet, a lender that was never truly committed, a “cash buyer” who was raising money behind the scenes — you own a property you did not plan to hold, or the A-leg does not close at all and the funding never wires.
Protect yourself the way the lender protects itself:
- Take a non-refundable deposit from the end buyer once inspections clear
- Verify funds directly — a screenshot is not proof; a banker’s letter or verified statement is
- Keep a backup buyer warm on any spread large enough to justify a double close
- Never let the B-C closing drift to another day without written extension terms from all parties
This is also why transactional pricing is a fee, not a rate: the lender is underwriting a single event, and the entire file stands or falls on the B-C leg being real. For background on how title and settlement protections work in these transactions, the American Land Title Association maintains consumer and industry resources on escrow and settlement practice.
Request funding
Have both contracts signed and a title company ready to run both legs? Submit a transactional funding request with the property address, both contract prices, your end buyer’s proof of funds, and the settlement agent’s contact. Jaken Finance Group lends on non-owner-occupied investment property nationwide, and a lending specialist will confirm fee, wire logistics, and closing-day sequencing directly with your title company.
Rates, terms and conditions offered only to qualified borrowers and are subject to change at any time without notice. All transactions are subject to full underwriting and title review. Jaken Finance Group only finances non-owner occupied investment properties.
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Jaken Finance Group, 2300 Barrington Road, Suite 400, Hoffman Estates, IL 60196