Don't Make This Mistake Before Closing

Want to work directly with me to close more deals? Go Here: https://www.titaniumu.com
Want the Closer’s Formula sales process I’ve used to close 2,000+ deals (FREE) Go Here: https://www.kingclosersformula.com/close


If you’re new to my channel my name is RJ Bates III. Myself and my partner Cassi DeHaas are the founders of Titanium Investments.

We are nationwide virtual wholesalers and on this channel we share EVERYTHING that we do inside our business. So if you’re looking to close more deals - at higher assignments - anywhere in the country… You’re in the right place.

Who is Titanium Investments and What Have We Accomplished?

Over 10 years in the real estate investing business
Closed deals in all 50 states
​Owned rentals in 12 states
​Flipped houses in 11 states
​Closed on over 2,000 properties
​125 contracts in 50 days (all live on YouTube)
​Back to back Closers Olympics Champion
Trained thousands of wholesalers to close more deals

_________________________________

With over 2,000 Videos, this is the #1 channel on YouTube for all things Virtual Wholesaling. SUBSCRIBE NOW!    https://www.youtube.com/@RJBatesIII

_________________________________

RESOURCES FOR YOU:

If you want my team and I to walk you through how to build or scale your virtual wholesaling business from A to Z, click here to learn more about Titanium University: https://www.titaniumu.com

(FREE) If you want to learn how to close deals just like me, The King Closer, then download the free King Closer Formula PDF: https://www.kingclosersformula.com/close

(FREE) Click here to grab our Titanium fleet free PDF & training: Our battle tested strategies and tools that we actually use… and are proven to work: https://www.kingclosersformula.com/fleet

Grab the King Closer Blueprint: My Step by Step Sales Process for closing over 2,000 deals (Only $37): https://www.kingclosersformula.com/kcblueprint

Grab Titanium Profits: Our exact system we use to comp and underwrite deals in only 4 minutes. (Only $99) https://www.kingclosersformula.com/titaniumprofits

Transcript

Why Title Protects You

What Sellers Mean By Asking

Bad Replies That Lose Money

Validate Policy Protect Progress

Handling Pushback Without Folding

Red Flags And Leverage Loss

Scripts For Calls And Texts

Wrap Up And Comment Prompt

SPEAKER_00 0:06

If you ever want to learn what it feels like to be an unpaid lender with zero collateral, go ahead and start paying sellers before closing. Because the moment you hand a seller money outside of title, you just stepped out of real estate and into gambling. And the worst part is you'll convince yourself it was just a little to keep the deal alive. That's how people lose thousands of dollars and still call it part of the game. Today I want to give you one of my non-negotiable rules in wholesaling. I do not pay sellers before closing. Not for good faith, not for gas money, not to show I'm real, not because they say they're about to lose the house unless I help. If money moves, it moves through title at closing on the settlement statement with paperwork. And before somebody jumps in and says, What about earnest money? Earnest money goes to the title company, not to the seller. If you're handing a seller cash, Cash App, Zell, Venmo, or anything like that, you're playing yourself. Now let me explain why this rule exists. This rule is not because I'm heartless, it's because I'm running a business. The title company exists for a reason. Their job, or one of their jobs, is to make sure that the seller actually owns the property. Their job is to clear liens. Their job is to prepare documents correctly. Their job is to make sure money moves safely and legally. When you pay outside of closing, you bypass the entire safety system. Now your only protection is trust me. And in this business, trust me is not a strategy. You can be dealing with a perfectly nice seller and still get burned because distress makes people unpredictable. They'll sign with you on Monday and take another offer on Wednesday. Their cousin shows up on Thursday claiming they own half the house. Title comes back with a lien nobody mentioned. Probate isn't done. The spouse isn't on board. None of that is rare. That is just Tuesday. So now let's talk about the kinds of things sellers say when they want money before closing. They'll say, if you're serious, you'll send me something. The translation, I'm testing how easy you are to move. They'll say, I need a deposit to hold the property. Translation, I want you committed while I stay flexible. They'll say, I'm behind on my light bill or my water bill or on my taxes. The translation, I have an emergency and I want you to become the solution. They'll say, I need money for moving. The translation, I want cash now and we'll figure it out later. They'll say, my cousin says investors always pay something up front. Translation, I heard a story and now I'm trying to make it your policy. They'll say, just 500, 1000, 2000. Translation, I want to see if I can get you to break your own rules. If you do not have a rule, you will get negotiated into doing dumb things. Because you'll start thinking like this. Well, I already put time into the deal. I'll just do it this once. I don't want to lose it over a little bit of money. That mindset is exactly how you build a business that bleeds cash. Now, what would you not say? Bad response number one. Okay, I'll send it. That trains the seller that you can be pressured. And once you do that, there's always going to be one more thing. Bad response number two. I can't. That's illegal. Maybe it is in some situations, but maybe it isn't. Don't hide behind legal claims you can't explain. It makes you sound shaky. Bad response number three. I don't do that because people scam. Now you're calling the seller a scammer. Even if you're right, you just escalated the conversation for no reason. Bad response number four. Giving them a long lecture about how title works. Sellers do not need a class, they need certainty and a next step. Bad response number five. Maybe after we sign. No, that is you negotiating against yourself. If you say maybe, the seller hears yes. So what does this request actually mean? Usually it falls in one of four buckets. Number one, they're in real distress and panicking. Number two, they're testing you. They want to see if you're a professional with a process or a hobbyist with a phone. Number three, they're shopping you. They want to lock you in while they keep taking calls from other buyers. Number four, they're setting up a scam. Not every time, but often enough that you should assume risk and not innocence. Your job is to respond with a system that handles all four situations without you turning into a charity or a victim. So here's the framework. Validate policy, protect, and progress. So step one, you validate the request. You're not agreeing, you're acknowledging. So you say, I understand why you're asking. That one line lowers tension immediately. Step two, state the policy clearly. So you say, I don't pay anything directly to sellers before closing. No apology, no hesitation, no soft language. It is a rule. Step three, you explain the protection. So you say the money moves through title at closing, so you're protected and I'm protected. Now it sounds professional, not personal. And step four, offer a real solution. So you can say, what I could do is move fast. We can open title today instead of closing date that solves the urgency. Now you're not just saying no, you're saying here is the right way. And step five, progress the deal. So you say, if speed is the issue, let's get title open right now. What email should I send the contract to? That keeps control of the conversation where it belongs. So what does this sound like on a real call? Seller says, if you're serious, send me 500 right now. You say, I understand why you're asking, but I don't pay anything directly to sellers before closing. The money moves through title, so it's safe and documented. What I can do is move fast. If we open title today, we can close as soon as title clears. How soon do you actually need funds? This is the shift that you want. You move them away from give me money and into let's talk about the timeline. That is where professionals operate. If they say, I need it this week, you say, then we're aligned. Let's open title today and push for that to be a reality. I'll call title while we're on the phone and we can see if that's a possibility. Now let's go through the pushback. Pushback number one, other investors do it. You say some do. I don't. The safest way is through title. If somebody is giving you money directly, make sure you understand what they expect back if the deal doesn't close. That response is powerful because it plants caution without sounding emotional. Pushback number two, so you're not going to help me? You say, I am helping you. I'm helping you close safely and get paid the right way. The fastest help I can give is speed and certainty. Paying outside closing creates problems and delays. Pushback number three, I need moving money. You say, got it. If we need to structure something, it has to be approved by title and reflected on the settlement statement. I'm not doing cash outside of closing. But what we can do is close on time. And once you receive your funds, we can give you a lease back for a short period of time so you can move out post-closing. And this is where a lot of amateurs fold. They start offering side deals. Do not do that. Pushback number four. I won't sign unless you send something. You say, then we're probably not a fit. I'm not comfortable paying outside of closing. If you want a safe transaction, we do it through title. If not, no hard feelings. Notice the posture there. Calm. Clear. No arguing. That posture alone will save your bank account. Now, people always try to bring up exceptions. They'll say, what about seller assistance? What about moving help? What about cash for keys? Here is the rule. If money is moving to the seller for anything, it needs to be in writing, documented, and handled through closing or through a structured agreement your title company is aware of. You do not freelance this stuff. If the seller truly needs something like moving assistance, the answer is not, yeah, I'll send it. The answer is let's set that up where we close on time, and then you can have a short lease back with the property so you can move out after you have your funds. That is the correct answer. Even if you do not get scammed, paying sellers early still kills your leverage. Once the seller has your money, the urgency changes. Now they already got something. Now they can delay. Now they can think about it. Now they can answer our competition's calls. And now they can drag the process out. Meanwhile, you are emotionally attached because you already put money into the deal. And that is exactly why serious businesses do not prepay sellers without security. So when a seller asks for money early, here are the red flags I want going off in your head immediately. Who is actually on title? Is anyone else on title with you? Is there a probate or inheritance involved? How did you acquire the property? Are there liens, judgments, or back taxes? Anyone else need to sign off? And most importantly, why the urgency? What is really driving the need for money right now? If those answers are vague, your risk is high. And the high risk is the exact moment amateurs start paying early to keep the deal alive. And that is backwards. So let me give you the difference between the bad version and the good version. Bad version. Seller says, send me 1,000 or I'm not signing. And you say, okay, I'll send it. What's your cash app? And then they come back and ask for 2,000. And then title finds a lien. And then the seller disappears. And now you're filing a mechanics lien or calling the police, and that goes nowhere. That is not investing. That is donating. The good version. The seller says, send me 1,000 or I'm not signing. And you say, I understand why you're asking, but I don't pay sellers directly before closing. The transaction has to run through title so everything is documented and safe. What I can do is move fast. If we open title today, we can push to close on this timeline. Is speed the real issue? The seller says, I need money for moving or for my hotel or my apartment that I'm going to move to. And you say, got it. Then let's solve the real problem the right way. We can open title today and push for an expedited close. If assistance needs to be structured, it has to be approved by the title company and show on the settlement statement. If that doesn't work, I understand, but I'm not sending cash outside of closing. And the seller says, So you're not helping. And you say, I'm helping by getting you to a real closing with real money. If you want quick and safe, this is the path. Do you want me to open title right now? That is the difference between a business and someone that's just doing a side hustle. If they text you asking for money early, keep it simple. You can send this simple text. I understand the urgency. I don't send money directly to sellers before closing. The safe process is closing through title and getting you paid on the settlement statement. If you want, we can open title today and push for the fastest close possible. Are you available for a quick call if title, if needed? Now here's the funny part. A lot of sellers will actually respect you more when you hold this line because it signals that you are not desperate. It signals that you have a process. It signals that you are not just some random person with a contract template trying to wing it. Desperate buyers pay early and professionals close clean. And if a seller walks because you would not pay them early, you did not lose a deal. You avoided a liability. So let's wrap this up. My rule is simple. I do not pay sellers before closing. Why? Because it removes protection, it kills leverage, and it opens you up to scams and chaos. What do I do instead? I solve urgency with speed, structure, title, and clear next steps. If you want longevity in wholesaling, you have to stop trying to save every deal with your wallet. Your wallet is not your negotiating tool, your process is. Now, if you've ever had a seller ask you for money before, comment below and tell me the wildest thing they wanted you to pay for. I love hearing crazy stories. I'll be honest with you. The craziest one that I can remember off the top of my head was the seller needed me to buy their plane ticket to China because that's where they were moving after closing. Not exactly sure why they need the plane ticket to move to China before closing. And funny enough, that deal never closed. So I saved myself a few bucks. So let me know in the comments. Regardless, show me some love, like today's video, and we'll see you guys tomorrow.