Cash Closings and Double Closings for Florida Investors

Cash closings and double closings are two of the most common transaction types for Florida real estate investors. A cash closing eliminates the lender entirely, cutting the timeline from 30 to 45 days down to as little as 7 to 14 days. A double closing allows wholesalers and flippers to buy and resell a property on the same day without revealing their profit margin to either party.

This guide explains how each transaction works, what the title company handles behind the scenes, and what investors need to know about costs, risks, and timing.

What Is a Cash Closing?

A cash closing is a real estate transaction where the buyer pays the full purchase price without a mortgage. No lender means no loan application, no appraisal requirement, no underwriting delays, and no lender's title insurance policy to issue. The result is a faster, simpler closing with fewer documents.

"Cash" does not necessarily mean physical currency. The buyer wires the purchase funds (or delivers a cashier's check) to the title company's escrow account. The title company verifies receipt, records the deed, and disburses the seller's proceeds.

How Does the Cash Closing Timeline Work?

Without a lender, the timeline depends on just three factors:

1. Title search and examination (3 to 5 business days): The title company searches public records for liens, judgments, encumbrances, and ownership history.
2. Inspection period (negotiable): Cash buyers often negotiate shorter inspection periods, sometimes as few as 3 to 5 days.
3. Document preparation (1 to 2 days): The title company prepares the deed, closing disclosure, and settlement statement.

In a clean transaction with no title issues, a cash closing can be completed in 7 to 14 days. Some investors close even faster when the title search comes back clean and all parties are ready to sign.

What Costs Are Different in a Cash Closing?

Cash buyers save on several costs that financed buyers pay:

On a $300,000 cash purchase, the savings from skipping mortgage doc stamps ($1,050), intangible tax ($600), lender's title policy, and appraisal can total $2,000 or more in reduced closing costs.

What Is a Double Closing?

A double closing (also called a "simultaneous closing" or "back-to-back closing") involves two separate transactions on the same property, typically on the same day:

• Transaction A-to-B: The original seller (A) sells the property to the wholesaler/investor (B).
• Transaction B-to-C: The wholesaler (B) immediately resells the property to the end buyer (C).

Each transaction has its own closing disclosure, its own set of documents, and its own title insurance policy. The wholesaler briefly takes title to the property (sometimes for only minutes) before transferring it to the end buyer.

How Does Money Flow in a Double Closing?

This is where the title company's expertise matters most. In many double closings, the end buyer's funds (from Transaction B-to-C) are used to fund the wholesaler's purchase (Transaction A-to-B). Here is how it works:

1. The end buyer (C) wires their purchase funds to the title company's escrow account.
2. The title company uses a portion of those funds to close Transaction A-to-B, paying off the original seller (A).
3. Once Transaction A-to-B is recorded, Transaction B-to-C closes and the deed transfers from the wholesaler (B) to the end buyer (C).
4. The difference between the two sale prices (minus closing costs) is the wholesaler's profit, held in escrow and disbursed to them after both transactions close.

Some title companies require the wholesaler to bring their own funds (called "transactional funding") for the A-to-B side rather than using the end buyer's money. Transactional lenders provide short-term loans (often for just one day) specifically for this purpose. The cost of transactional funding typically ranges from 1% to 2% of the loan amount.

What Does the Title Company Handle in a Double Closing?

The title company is responsible for:

• Running a title search and issuing two separate title insurance commitments (one for each transaction).
• Preparing two complete sets of closing documents.
• Coordinating the timing so both closings happen on the same day and the deed recordings are properly sequenced.
• Managing escrow funds to ensure proper disbursement to all parties.
• Recording both deeds with the county clerk in the correct order (A-to-B first, then B-to-C).

What Are the Costs of a Double Closing?

Because a double closing involves two separate transactions, there are essentially two sets of closing costs:

• Two title insurance premiums: One for the A-to-B transaction and one for the B-to-C transaction.
• Two sets of doc stamps: Deed doc stamps are owed on each transfer.
• Two settlement fees: The title company charges a closing fee for each transaction.
• Transactional funding cost (if used): 1% to 2% of the A-to-B purchase price for a one-day loan.

The wholesaler typically pays the additional costs on the A-to-B side. The end buyer pays normal closing costs on the B-to-C side and may not even know a double closing occurred.

Why Do Investors Choose Double Closings Over Assignments?

The main reasons investors prefer double closings over contract assignments include:

• Privacy:Neither the original seller nor the end buyer sees the other's purchase price. The wholesaler's profit margin remains confidential.
• Lender requirements: Some lenders will not fund a loan on an assigned contract. A double closing with a recorded deed solves this.
• Seller resistance:Some sellers refuse to sign contracts that include "and/or assigns" language. A double closing avoids that issue entirely.

Lori LaCoppola

Owner & Managing Partner

Lori founded Coastal Collective Title to deliver a premium, relationship-first closing experience across Florida. With deep title industry expertise, she oversees every transaction with precision and personal attention.

813-544-8626lori@coastalcollectivetitle.com