How to Double Close a Wholesale Deal
A double close (also called a simultaneous close or back-to-back close) involves two separate transactions: you close with the seller first (A-to-B), then immediately close with the end buyer (B-to-C). Unlike assignment, you briefly take title to the property. This guide explains when double closing is the right choice and how to execute it.
Step 1: Decide if double closing is needed
Double close when: your assignment fee is large relative to the purchase price (over 30% of the spread), the contract prohibits assignment, the buyer is using financing that does not allow assignments, or you prefer to keep the A-to-B and B-to-C prices completely separate. Double closing costs more than assignment ($1,000-$3,000 extra) but provides privacy.
Step 2: Arrange transactional funding
You need capital to close the A-to-B transaction. Transactional funding lenders provide short-term loans (24-72 hours) specifically for double closes. Typical cost: 1-2% of the loan amount plus a flat fee ($500-$1,500). Some title companies will allow the B-to-C buyer's funds to fund the A-to-B close, eliminating the need for separate funding.
Step 3: Set up both closings
Work with an investor-friendly title company that handles double closes regularly. Schedule both closings on the same day if possible (some title companies require the A-to-B to close and fund before the B-to-C can proceed). Provide the title company with both contracts and explain the structure upfront.
Step 4: Close the A-to-B transaction
You purchase the property from the seller at the contract price using transactional funding or your own cash. You receive the deed in your name (or your entity's name). The seller is paid and has no further involvement.
Step 5: Close the B-to-C transaction
Immediately (same day or within 1-3 days), you sell the property to the end buyer at the higher price. The buyer brings their own funds. The title company processes the second closing, pays off your transactional funding from the proceeds, and disburses your profit. You never actually occupy or manage the property.
Pro tips
- Not all title companies do double closes — confirm before opening escrow.
- Some states have seasoning requirements that affect double closing.
- Keep the timeline between A-to-B and B-to-C as tight as possible to minimize transactional funding costs.
- Have your B-to-C buyer locked in before scheduling the A-to-B closing.
Bottom line
Double closing protects your fee structure and works in situations where assignment cannot. The extra cost ($1,000-$3,000) is worthwhile when the deal justifies it. Build relationships with transactional funding lenders and title companies that specialize in back-to-back closes.