Common Questions for Transactional Loans
What are the requirements of the title company / closing attorney?
It is critical that both the “A to B” and “B to C” transaction are closed by the same title company (or closing attorney for applicable states). You must let the closing agent know that this will be a back to back closing. Prior to the close date we will provide the closing agent with instructions as to how the closing should take place from the perspective of using our funds. Be sure your closing agent knows that this will be a back to back close ahead of time so as to avoid any unpleasant surprises.
What type of transactions can you fund?
We can fund any type of back to back transaction including short sales, reo, fsbo’s, commercial, and others.
Will you fund other types of transactions (i.e. need the money for a month, etc)?
No, we will only funding back to back transactions.
Can you provide me with a proof of funds letter for my deal?
Yes, we can provide you with a Proof of funds letter. Use the link above to file the request.
What will I owe if the deal does not close?
If the deal does not close, you will not owe us anything.
Can I use my own closing agent?
Yes. As long as your closing agent is familiar with closing back to back transactions, and is handling both legs of the transaction (“A to B” and “B to C”).
Do you fund the closing costs or just the sales price?
We fund the entire deal, including closing costs.
Can I (“party B”) purchase the property under a different name or entity (like a C Corp, or LLC)?
Absolutely, you can purchase the property into any legal entity.
Can two different title companies be used, or can “C” use their own closing agent?
No, both closings must be handled by your closing agent that is familiar with how to do back to back closings.
Can Tempo Funding fund deals in all 50 states?
Yes, we can generally fund transactional loans in all 50 states, however we limit the extended funding program to certain regions. Please submit a contact us request form if you have a specific coverage question for an extended loan.
How much time in advance do I need to tell Tempo Funding about a transaction I would like them to fund?
In general we ask for at least 48 hours notice for transactional loans and 7-10 days for extended funding loans, however we can fund transactional loans on the same day if necessary.
Does Tempo Funding provide loans for rehabs?
Yes, but only under the terms of our extended funding program.