Posted by JHyre in Ohio on July 24, 2002 at 06:04:52:
It’s not illegal anywhere I know, just a breach of contract if you are unable to perform.
John Hyre
wholesaling - Posted by eric
Posted by eric on July 22, 2002 at 13:33:06:
I studied Ron Legrand’s course on wholesale/retail. Wholesaling seems easy enough so I got this junker in contract. I figure I will get a buyer and flip it to him on the same day I close with my seller. I need no money to close the first deal because the funds will be made available after I close the second deal an hour later. Ron said have the closing agent explain its a ‘dry closing’ to your seller and funds will be available later that day or tomorrow. So…I call my title agent to do the search and have her explain simultaneous closings. She tells me its against Federal Law not to have the funds to close the first deal…ie,dry closings are illegal.? Anyway, my question is are these simultaneous closings illegal without funds to close or is my title agent not clear on the law?