Transactional Funding Service uses for Two Basic Reasons:
1. They have a contract that is Not Assignable to a third party. This is typical when purchasing properties off MLS, Bank Owned Properties, or properties owned by Government Entities (HUD, FHA, Fannie Mae, etc.)
2. The Wholesaler/Investor, choosing not to assign the contract in order to maximize their wholesale markup. Many times end buyers will not purchase a property if the Assignment Fee is too high. You do not have to Disclose your Contract Details to the “C” End Buyer when you utilize Transactional Funding.