Posted by Tarun_md on March 20, 2000 at 20:37:26:
Whenever I have dealt with FSBO’s, I have never shown any proof of funds. You need to find motivated sellers. They hardly ask for proof of funds.
On the contrary, if you will make offer on REO’s or through realtors, most will ask for proof of funds and earnest money which could range from $500-$1000.
You could go to a mtg broker and ask them to write you a letter or you can focus on dealing with FSBO’s, where proof of funds are not required.
The answer to your other question is NO. When you do a simultaneous closing, the seller deeds the property to you and you deed it to your investor. There are 2 deeds recorded and 2 transfer taxes paid.
An assignment is when you simply sell your contract to an investor for cash.
A good title company can handle simultaneous closes in such a way where all the funds come from your investor and you don’t have to come up with any funds.
The preferable method of doing flips is through an assignment, but if your profit is big, you might want to consider doing a simultaneous close and pay the extra closing costs associated with it.
Hope this helps