Double closing: how it works, with a real deed record
By Josh MillerUpdated 4 min readIn a double close, a wholesaler buys the house from the seller and resells it to the end buyer, usually the same day, so the seller and buyer never see each other's price. It costs two sets of closing costs and needs money for the first purchase, often short-term transactional funding, but keeps your spread private, which an assignment doesn't.
There are two ways to get paid on a wholesale deal: assign the contract, or buy and resell. The second is a double close. Here's how it works, and one from the deed records. This is general information, not legal or tax advice.
How it works
- Closing A: you buy the house from the seller, at your contract price.
- Closing B: you sell it to your end buyer, at their price, usually the same day or the next.
- The difference, minus two sets of closing costs, is yours.
A real one, from the deeds
| Where | Kingwood, Houston area, 4 bedrooms, built 1972 |
| Bought | $222,200, August 25, 2026 |
| Resold | $302,242, the same day |
| Difference | $80,042, before both sets of closing costs |
| How the first purchase was funded | A loan from a private lending fund |
Source: county deed records via GoForClose. Street address withheld.
That's a bigger spread than most, which is partly why it stands out. Notice the financing: a private fund lent the purchase price for the first closing. That's what transactional funding looks like on the record.
Double close or assignment?
| Assignment | Double close | |
|---|---|---|
| Your fee visible to the buyer and seller | Yes, on the assignment | No, each deed shows its own price |
| Closing costs | One set | Two sets |
| Money needed | Little | The purchase price, for a day or two |
| Works when the contract forbids assignment | No | Yes |
What to watch
- Title company rules. Some won't fund the first closing with the end buyer's money. Ask before you schedule.
- State rules. Some new state laws on wholesaling cover double closes as well as assignments. Check your state.
- Two sets of costs on thin spreads can wipe out the fee.
Questions investors ask
What is a double close in real estate?
Two back-to-back closings: you buy the house from the seller, then sell it to your end buyer, often the same day.
Why double close instead of assigning?
To keep your fee private, since both deeds show only their own price, and for deals or lenders that don't allow assignment.
How do you fund a double close?
With your own cash or short-term transactional funding, which lends you the purchase price for a day or two, repaid from the second closing. Some states and title companies have rules on using the end buyer's money for the first closing.
Is double closing legal?
Yes, with a title company or attorney who handles both closings properly, and with the disclosures your state requires.