latest on simultaneous or double closings? - Posted by cork horner

Real Estate Investing Real Estate Law
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Posted by Natalie-VA on July 02, 2009 at 09:31:00:

Sorry about that. Hopefully this will get you there:

Code of Virginia

Title 6.1 - BANKING AND FINANCE.

Chapter 1.1 - Wet Settlement Act

–Natalie

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latest on simultaneous or double closings? - Posted by cork horner

Posted by cork horner on June 27, 2009 at 22:00:12:

I know there has been much discussion and perhaps confusion of late regarding double closings or simultaneous closings with title companies or escrow companies.

I heard from my title rep with Chicago Title they are not illegal, its just that many escrow companies or title companies are not doing them because of lawsuits from the retail buyers lender?

thoughts? comments?

cork horner
san diego

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Re: latest on simultaneous or double closings? - Posted by Natalie-VA

Posted by Natalie-VA on June 28, 2009 at 09:41:31:

Hi Cork,

I’m not a lawyer, but I often have thoughts and comments…

I don’t see any problems with double closings where each buyer brings their own money to the table.

I do see problems with double closings where the first buyer does not bring money to the table, AND the state is one like Virginia that has a wet settlement act.

Our wet settlement act basically says that the settlement agent cannot release any proceeds from the closing until settlement is complete, including the recording of the deed.

So, you can’t record a deed without the money, and you can’t release any money without recording the deed. IMO, this prevents you from using the end buyer’s funds for both transactions.

Lawyers have disagreed with me on this and I don’t have a law license, so take my opinion for what it’s worth.

–Natalie

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Legal cite for VA “Wet Set” Act ? - Posted by John Merchant

Posted by John Merchant on July 01, 2009 at 10:41:04:

Natalie, although I’m unlikely to be doing any VA deals I would like to see the “wet settlement” act you mention so please give me the legal citation, statute numbers, etc.

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Re: Legal cite for VA “Wet Set” Act ? - Posted by Natalie-VA

Posted by Natalie-VA on July 01, 2009 at 12:11:28:

Hi John,

Here’s a link:

http://leg1.state.va.us/cgi-bin/legp504.exe?000+cod+TOC06010000001000010000000

Please let me know your thoughts.

–Natalie

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Case citation or statute number? - Posted by John Merchant

Posted by John Merchant on July 01, 2009 at 21:24:18:

Natalie I tried but couldn’t pull up your site.

If you can, get me the number of the statute as with that i can easily find in VA stats.