Coastal funding for newbies

You use it once you have a buyer in place waiting to buy a property you have locked up where the seller doesn't allow direct assignments or you don't wish the seller and buyer to meet directly and are going to a closing at a title company or similar closing system. That constitutes a double closing. You the temporary buyer gets trans funding to close from seller to you and in a short time as in less than usually a day you sell it to your buyer. But the title company has to know ahead of time this is happening so they don't turn the paperwork in.
To use the trans funding you need the cooperation of your buyer usually to get their services, unless you have the financial means to prove to them that you could pay for the amount requested, as trans funding providers require that there be a source that can financially pay for the end deal.
Hope this helps.

Hi Tammy, Michael made it simple an right the point, I couldnt have been any better, have a wonderful day, Thanks, Jim

If Coastal is your choice or must use system. Beware that some banks are likely to give you flack over using them. So make sure you really are set up with them having a contact person and direct phone number so the bank and title company can verify your POF.

To be more specific. You use a Trans Funding company such as Coastal when you are working with REOs, Short Sales, HUD/FHA & other government transactions, some seller financing so you keep the seller from getting squeemish on like a LO or CD and you don't want them to know your adding a fee to the deal. There are other cases where they are used, but these are the primary.

Okay, Thank you for all your help. I looked on the site, and was assuming I understood, but you have clarified it more for me, I think. Tammy

What part might you not understand yet?

Oh sorry Mike, I think that I am understanding the funding now. I have no further questions right now. Thank you! Tammy

Here is your better way. You 2 are thinking A (your seller) to B (you) then B to C (your buyer). See if you can still find a title company that will do a closing of B to C FIRST. Then A to B. It is less costly and more secure. I hope that answers one question in a different way. If not able to do that then Trans Funding.
The works part. You will need to contact say Coastal and set up an account which costs you at some point. You inform them of your sellers "deal", you inform them of your buyers information which you will have to get from the buyer and permission from said buyer to disclose that information or have the buyer contact the trans funding company to do the same. At this point if not handled right you could lose your buyer. Oops! This is why you are supposed to acquire this information from the beginning during your rapport building. Remember little steps? So the final questions make it simple. When completed They (trans funding co.) will send you a POF letter good for that deal which you use to do the A to B and hopefully one for your records in regards to C so you have a back up for the B to C.
Questions??

I meant the comment question sincerely not sarcastically. Also see a topic forum that it up right now called "Transactional Funding". Lots more explanations and sources.

i aslo am interested in this info on this funding.Infact I have tried to contact coastal funding but havent been contacted as yet.Thanks for sharing to you both.

Okay, so I initially posted this topic because I was reading about Matt larson's how to find an agent for the umpteenth time. It stated that if you needed a proof of funds letter you could go to coastalfunding and print one off. I thought this was to prove to the agent that you were serious and had funds. It seems like I misunderstood, of did I? Thanks, Tammy

Its not so much for the agent as it is when used in a double closing. The bank will generally ask for proof of funds in that you are only owning the property for a few minutes sometimes then your buyer does the actual funding with cash.
In some cases the bank may not recognize the "proof" letter unless it is backed up by a letter from an actual bank. I believe they show an example on the site from Wells Fargo.

Happy Hunting,

Randy Bailiff

So I am using Coastal funding for their POF letter to go along with my offer's and the agent's out here where I live want something that looks more legit. Any idea's from anyone who a back up might be?? Without them accepting my POF letter then they won't accept my offer and then I can't reassign the deal so I am going to be stuck.

Lisa C