Double closing - Posted by Roy

Posted by Shenesa on November 14, 2000 at 13:35:44:

Try asking other investors in your area about title companies they use to double close. It worked for me.

Much Success!
Shenesa,NY

Double closing - Posted by Roy

Posted by Roy on November 14, 2000 at 12:31:11:

I’ve been turned down by 3 title companies saying it is illegally to close the 1st deal (where I am buying) and issue title insurance, (I am using the money from the sale to pay the person I am buying from) while waiting 60 seconds to close the sale (where I am selling) of the property.
Any solutions in Clearwater, Florida?

Thanks

Nationwide… - Posted by L.A.

Posted by L.A. on November 19, 2000 at 02:19:16:

Seems like a commucation breakdown.

Double closing ARE NOT illegal…BUT nationwide many “title companies”…are forced by their “title insurer” not to do double closings.

It’s just against the title insurers policy.
They will not “insure” title in a transaction that involves a double closing !

At this time Chicago Title & at least one other major title insurer has this company policy.
I found out this about a month ago from the owner of a title company.

They require at least a 30 day period from the time the deed is recorded…to even open a new file on the same property…JUST POLICY.
Their reasoning is that it protects all parties !

So, my advice would be to seek out title companies or agents who are insured by insurers will allow this type of transaction…or some how get the property titled in your name…30 days or more …BEFORE…U have to close with your buyer.

I am sure there are other ways to stucture a transaction…but just ask around on how to do it.

Hope this helps.

Re: Double closing - Posted by Bob Taylor

Posted by Bob Taylor on November 14, 2000 at 15:57:32:

Roy:

The title company DOES NOT need to issue you a title policy for the few minutes you are going to “own” the property. They will only need to issue a policy to your buyer. I would make one more call to your current title company, and, if they still don’t want to
"work for you", there is one somewhere else that will do what you need done.

Perhaps, you might want to talk with a closing attorney. It is ultimately his/her responsibility to see that everybody gets paid.

Good luck, and, good buying/selling,
Bob Taylor…Alabama

Re: Double closing - Posted by friendly guy

Posted by friendly guy on November 14, 2000 at 13:42:44:

Keep looking for the right title company. I’ve heard from someone else that’s had similar problems in FL with title companies.

I KNOW from personal experience that a double closing as you described is very legal. Tricky, but perfectly legal. B/c they’ve been burned so many times in the past by irresponsible investors, many title insurers will no longer insure a double closing, which can, of course, tie the hands of the title company. But illegal? Ask them to show you where & look at the dumbfounded expression as they backpeddle.

Just keep trying them until you can find one that’s willing to work outside of the box in their thinking or who’s hands aren’t already tied up by their insurer.