EMD stands for Earnest Money Deposit. It is a sum of money that a buyer provides to a seller as a show of good faith when entering into a real estate contract. The EMD is typically held in escrow until the closing of the transaction.

When looking at whether or not what you are requesting is considered EMD, you can look at the following:

*Is the amount you're requesting the exact same as the amount listed for EMD on the contract?

*Does the amount you're requesting include an option fee? We will NOT fund these!

*Are you requesting money post-closing? This is NOT EMD and we will not fund.

We can fund EMD for end buyers, but it's rare. At the end of the day, our funds have to be protected no matter what. Typically, EMD is refundable throughout the inspection period.

If you have an inspection period, we can fund your deal as long as our funds are returned prior to the inspection period ending.

If you have NO inspection period on your deal or the EMD is non-refundable, we will NOT fund your deal.

If your deal does not close, we do not charge you the 40% fee.

Your only cost would be the up front fee of $250.00 which goes to to pay our transaction coordinator. (This pays them for their time in case the deal doesn't close.)

A double closing is a real estate transaction method where two back-to-back property sales occur on the same day, involving three parties: the original seller, the investor (middleman), and the end buyer.

Here's how it works:
First Transaction: The investor agrees to purchase the property from the original seller.
Second Transaction: The investor simultaneously sells the property to the end buyer at a higher price.

During a double closing, the investor typically uses the funds from the end buyer to complete the purchase from the original seller. This allows the investor to profit from the difference in sale prices without needing to use their own funds for an extended period.

There is no limit on the funds we have available for both EMD and double closings. As long as your deal qualifies under our standards, we will be your one stop shop for all transactional funding both now and in the future!

We typically require 48 business hours minimum to fund a deal, however, we have funded deals in as quickly as 5 minutes (seriously!).

If you have a deal, your best bet is to submit it as soon as possible so we can review it and get the process started.

A "subject-to" transaction refers to purchasing a property while keeping the underlying mortgage intact, essentially assuming responsibility for the existing mortgage. The term "subject-to" is mentioned on HUD statement lines 203 and 503, signifying that we are acquiring the property subject to the existing mortgage terms. Despite its long history, some seasoned investors and brokers may not be familiar with the subject to strategy, and may raise concerns about its legality. However, the IRS recognizes and acknowledges the subject-to strategy. 

The term "subject-to" is even listed on the HUD statement, and the IRS provides information on the subject in Publication 537, which can be found at this link:

HUD Example

The seller is also protected by a document called a Deed of Trust , and Promissory Note enforced by the closing Title Company. A Deed of Trust is a legal document that allows a borrower to transfer the ownership of their property back to the original owner to avoid lengthy foreclosure and lawyer fees. This document is completed at closing and drafted by the Title Company.

No, we want this to be as painless as possible. so we will pay for a loan servicing company to service our agreement.

A loan servicing company is a third-party entity that manages loan-related tasks such as collecting payments, sending statements, and ensuring that the borrower stays up to date on their payments. This helps the seller have peace of mind, knowing that their investment is being professionally managed.

In the highly unlikely event that we are abducted by aliens and unable to make payments, the property would be transferred back to the seller through the Deed of Trust. This means that the seller would keep all the funds we’ve paid so far and regain possession of the house.

When a borrower is obligated on a mortgage debt - but is not the party who is actually repaying the debt - the lender may exclude the full monthly housing expense (PITIA) from the borrower’s recurring monthly obligations if

the party making the payments is obligated on the mortgage debt, there are no delinquencies in the most recent 12 months, andthe borrower is not using rental income from the applicable property to qualify.

In order to exclude non-mortgage or mortgage debts from the borrower’s DTI ratio, the lender must obtain the most recent 12 months' cancelled checks (or bank statements) from the other party making the payments that document a 12-month payment history with no delinquent payments.

Review full mortgage DTI details here:
Fannie Mae DTI Assessment

In order to present your seller with a tailored offer, we need some specific information about their situation. Don't worry, while some of the questions might seem a bit personal, they're essential for us to dive deep into the details and create an offer that's a perfect fit.

We need these key pieces of information to send the perfect offer.
*Full Address
*Loan Amount Remaining
*Interest rate
*Monthly Payment
*Major Repairs Needed
Please send us an email here.

We’ll take a look at the information that you provided and may contact you by phone to get additional specifics about your situation and the property that you want to sell.

Then, after considering all of the details of your home, we’ll usually be able to come up with a fair and honest offer on your property that’s a win-win-win for all of us.

And once you have an offer from us, there’s no obligation whatsoever for you to accept it. We promise that the decision of whether or not to sell your home will always be totally left up to you. If you do decide to sell your home to us, the process will go fast and you can pick a closing date that fits your schedule!