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What is
One Day Transactional Funding?
One Day Transactional Funding is used when you
have a real estate deal that you need to close and you will be
re-selling that same deal to another party that same day. The
entity that you are buying it from needs you to provide the
funds when you purchase it. When you re-sell it in a second
closing that same day, you will then have the funds to re-pay
the person or company that provided the funds in the first
place.
The problem investors run into is that they
don't have the funds to close the first part of the
transaction...
That problem
is now solved with One Day Funding.
Example of a One Day
Funding Transaction
Let's say you get an approval for a short sale
on Mr. Smith's house at 123 Main Street for $100,000. You find
a buyer, Ms. Jones, who will pay $120,000 for that house. In
order for you to get the profit between the $100,000 that the
bank approved and the $120,000 that your buyer agrees to pay,
you must first close and pay for the house from the lender.
In this transaction, Mr. Smith is party "A". You are
party "B". Ms. Jones is party "C". We provide the $100,000 to
you, party "B" in the purchase from Mr. Smith. This is the A
to B part of the transaction. You then sell the house to Ms.
Jones in a second closing that same day. This is the B to C
part of the transaction. Once the B to C part of the
transaction is complete, the funds you had to close the first
transaction can be re-paid back to our company that provided
them to you.
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