The Double Close Explained
A double close is a wholesaling strategy where you legally buy a property from the original seller and immediately resell it to your end buyer through two separate, fully-documented real estate transactions โ with your profit completely off both settlement statements.
What Actually Happens on Paper
A double close is not one transaction with three parties โ itโs two completely independent real estate transactions executed back-to-back. Each has its own paperwork, its own closing, and its own deed recording.
Two Purchase Contracts
An AโB contract between the original seller and you, and a separate BโC contract between you and your end buyer.
- Independent prices and terms
- Each enforceable on its own
- Neither references the other
Two Settlement Statements
The title company prepares a separate HUD/CD for each transaction. Your spread shows only on the disbursement summary, not on either partyโs closing statement.
- Seller sees AโB only
- End buyer sees BโC only
- Profit stays between you and escrow
Two Deed Recordings
The first deed transfers title from the original seller to you. The second deed transfers it from you to the end buyer. Both record at the county recorderโs office.
- You appear in the chain of title
- Recordings often minutes apart
- Public record โ fully transparent
The Words Wholesalers Actually Use
Title companies, lenders, and wholesalers use a specific vocabulary. Knowing these terms makes the rest of the process much easier to follow.
The first transaction: original seller (A) sells to you (B). This is the leg that needs transactional funding.
The second transaction: you (B) sell to your end buyer (C). The BโC funds repay the AโB transactional funding.
The capital partner who provides short-term funds for the AโB closing. Repaid the same day from BโC proceeds.
Another name for a same-day double close. Both transactions happen on the same business day at the same title company.
A closing where funds are wired and deed recorded the same day. The default for Arizona double closes.
A closing where docs are signed but recording is delayed (rare in Arizona, common in some other states).
Funds held by the title company between AโB closing and BโC closing โ typically only minutes to a couple hours.
Earnest Money Deposit โ goodwill funds put up at contract signing. Note: we do NOT offer EMD funding.
The historical record of property ownership. In a double close, both you and the end buyer appear in this chain.
The alternative to a double close. You transfer your contract rights to your end buyer for a fee that appears on the settlement statement.
When the Strategy Wins โ and What It Costs
No strategy is right for every deal. Hereโs a straightforward look at what you gain and what you give up by structuring as a double close instead of an assignment.
- Your profit spread stays private โ nobody on either side sees it
- Works on non-assignable contracts (REO, HUD, probate, anti-assignment clauses)
- No assignment-disclosure issues with state regulators or attorneys
- End buyerโs lender has clear title in your name โ no underwriter confusion
- Two clean transactions for your bookkeeping and tax records
- Comfortable with larger spreads ($15K+) where disclosure would create friction
- Higher closing costs โ two sets of title insurance, recording fees, escrow fees
- Transactional funding fee (we publish ours on the fees page)
- More moving parts โ both legs must close on time or the chain breaks
- Requires a title company experienced with back-to-back transactions
- Two separate closings on your calendar even if minutes apart
- Higher administrative overhead than a simple contract assignment
Common Myths About Double Closes
Most of what youโll read in wholesaling forums is wrong, exaggerated, or applies to a different state. Hereโs whatโs actually true in Arizona.
FACT ยท Double closes are fully legal in Arizona when properly funded and documented through a licensed title company. They are simply two real estate transactions executed in sequence โ both above-board, both recorded, both compliant with ADRE rules. See the Arizona Department of Real Estate at azre.gov for current statutes.
FACT ยท Most experienced Arizona title companies will close back-to-back transactions if the file is clean and funded properly. The few that decline are usually concerned about poorly-documented seasoning or funds-source issues โ both solvable with the right transactional funder.
FACT ยท You do not need to fund the AโB closing from your own pocket. A transactional funder wires the AโB funds to escrow, and gets repaid from the BโC closing the same day. The deal funds itself.
FACT ยท The end buyerโs lender only sees the BโC transaction. Your purchase price from the original seller (AโB) is a separate deal that does not appear on the BโC settlement statement. The lender underwrites against the BโC purchase price and appraisal โ full stop.
FACT ยท You do not need a license to wholesale property you have under contract or that you own briefly during a double close. You are principal to both transactions โ not a broker representing someone else. (You DO need a license to represent other peopleโs deals.)
Where to Go From Here
Each of these pages dives deeper into a specific part of the strategy. Pick whatโs most relevant to where you are right now.
The full step-by-step process from contract signing through deed recording.
Same Day Transactional Funding โHow AโB leg funding works, what we charge, and why no credit check is needed.
Back-to-Back Timing โThe same-day schedule, the 1โ2 hour gap window, and what happens if timing slips.
Double Close Arizona โStatewide coverage, city-by-city service area, and Arizona-specific compliance notes.
Transaction Coordinator โHow our TC handles 50+ touchpoints so you only need to submit once and show up to close.
Fees & Pricing โTransparent fee schedule with worked example. Every cost on your settlement statement.
Ready to Run Your First Double Close?
Submit your AโB and BโC contracts. Weโll review your package same day and confirm whether you can close.