Posted by Todd in Ohio on October 25, 2000 at 09:55:18:
I do this quite commonly. My suggestions are based on what I do. First, you need to talk to your title company and make sure they are aware that your buyer will be supplying the money (i.e. your money) for your purchase. Hopefully, this is a title company you do a lot of business with, so they know who you are, but the important thing is that it is a title company that understands double closings (many do not, and can mess up your deal).
I close with my BUYER first, so that the title company doesn’t have to worry about where the money is coming from. My buyers are usually professionals like me, so they understand they will get a key later that day, or the back door, or window is already busted out anyway since the house is usually vacant, vandalized, etc.
I close with my SELLER an hour later. Many seminar speakers talk about closing AT THE SAME TIME IN DIFFERENT ROOMS, but with my luck, that is a recipe for disaster. My method has worked for me and it avoids any problematical confrontation. NOTE: I am both paranoid and non-confrontational.
Possible problem #1: My Buyer doesn’t show. I either postpone the closing, or get the cash myself. NOTE: Has never happened.
Possible problem #2: Seller doesn’t show, and wants to back out. There should be no real legal ramifications, since the contract with your buyer is contingent upon you being able to deliver good title. NOTE: Has never happened.
Inherent Problem: You WILL pay 2 sets of closing costs. In our area, that’s a few hundred bucks. If that’s a factor in the deal, then you paid too much from the “get go”.
Hope this helps…