One of my favorite things about land flipping is the cost. Unlike traditional real estate investment, you can run your business for relatively cheap. In this episode, I discuss double closings and how you can flip land without spending money on a property. In fact, you can save even more money by double closing without a title company!
This podcast was recorded as part of our Winning Wednesday live series. Every Wednesday at 10AM PST on the Land Profit Generator Real Estate Investing Facebook Group, I answer your questions and delve deep into real topics that affect land flipping business owners.
When You Should Self-Close A Property
With higher-priced properties, it makes sense to use a title company since you can make a large profit and pay the closing costs. But, with lower-priced properties ($5000 – $10 000), it’s way cheaper to self-close. In fact, it will only cost around $150 to do this (depending on the state).
In order to self-close a property, you need to do a title search – which we covered in our previous episode. To summarise, you are looking for any open tax liens. Then you need to find out how to remove the lien. Thankfully, in my experience, lower-end properties don’t typically have many problems.
Double-Closing Without A Title Company
First of all – what is a double-close? This is where you receive money from the seller and use it to buy the property. This means that you never have to put any of your own money down on the deal! Typically, with larger deals, you would have a title company handle this. However, it is very possible to do this yourself!
Once you have a buyer for the property, get them to pay you for the property. Then, you can FedEx the seller a cashier’s check. It’s that simple! Ensure a good relationship with the seller and keep clear communication with them and it will work out. In this episode, you can see a step-by-step example of this type of transaction. Follow these steps and you’ll be able to flip land without spending money!
- Find out how to double-close without a title company
- Learn when to self-close
- Understand how to flip land without spending money on a property