Transactional Funding in McAllen

Yes, in writing, to both sides of the deal. Texas Occupations Code section 1101.0045 lets you acquire an option or an interest in a contract to purchase real property and assign it without a real estate license, provided you do not use it to broker and you disclose the nature of your equitable interest in writing. Since SB 1577 took effect January 1, 2024, that written notice goes to the seller as well as the buyer. Skipping the disclosure is treated as unlicensed brokerage. On a $150,000 to $200,000 Hidalgo County lot, the assignment fee is a large share of the deal, which is exactly the kind of number a missed disclosure draws scrutiny to. Have a Texas real estate attorney review your contract and disclosure language before you use it. Texas has a second disclosure statute that older templates miss: Property Code section 5.0205 requires its own written notice before you enter into the contract to sell an option or assign a purchase contract, telling the potential buyer that you are assigning an interest and do not hold legal title, and telling the property owner that you intend to assign. It is a separate duty from the 1101.0045 disclosure, not the same one restated.

Because Hidalgo County has a real colonias and contract-for-deed history, and it can live in the chain of title. Hidalgo County is one of the most colonias-affected counties in Texas, and academic work documents post-1990 "model subdivisions" here, sold via seller financing with repeated repossession-and-resale cycles, so a lot's title can carry unrecorded or partially performed contract-for-deed history. Before you take on a B leg, confirm the property sits on a recorded plat rather than a metes-and-bounds slice of an unplatted tract, and have the title search run deep enough to surface any contract-for-deed chain so it gets resolved before closing. Transactional funding covers the A-to-B leg once title is clean; it does not substitute for that diligence.

More than it would in a pricier metro, which is exactly why the structure has to hold up. McAllen's mid-tier home value ran $195,624 in June 2026, the lowest of the 100 largest US metros in Zillow's index, and several Hidalgo County submarkets price even lower: Weslaco at $181,101, Pharr at $165,495. On a deal that size, a flat assignment fee is a much bigger percentage of the price than the same fee on a $400,000 house, so a wholesaler here is selling basis and a clean, assignable contract more than a big-dollar spread. That is the local case for locking down title and disclosure before you're under contract, not after.

It runs on the same statutory clock as the rest of Texas. Under Property Code section 51.002, non-judicial foreclosure sales happen the first Tuesday of the month, between 10 a.m. and 4 p.m., at the county courthouse or a location a commissioners court has designated near it, on at least 21 days' notice. No Hidalgo County deviation from that process has been documented. For a McAllen wholesaler, that means distressed supply arrives in a predictable monthly batch and the notice window is your lead time to line up an end buyer and confirm funding against a sale date that will not move.

No. Texas cannot impose a real estate transfer tax on either leg of a double close: the Texas Constitution, Article VIII section 29, bars the legislature from enacting one on any transaction that conveys fee simple title. Title insurance premiums are also fixed statewide by the Texas Department of Insurance, most recently cut 6.2% effective March 1, 2026, so the premium on a given policy amount is the same at every title company you use for either the A-to-B or B-to-C closing.

No. We fund up to 100% of the A-to-B purchase. Transactional funding covers the A-to-B leg so the B-to-C can fund the same day, on a simultaneous close. What you do need is a real end buyer and clean, assignable title, which in Hidalgo County is the part that actually delays closings given the contract-for-deed history in older chains. Subject to underwriting.

Yes. There is no credit check and no appraisal on this product. Transactional funding is underwritten on the simultaneous close, not on you: your end buyer's funds retire our money the same day. That makes it the one program on this McAllen page with no credit gate at all. It also means the deal lives or dies on the B-to-C buyer being real and funded. Subject to underwriting.

Days, not weeks, priced as a flat fee. There is no rate to amortize and no monthly payment, because the B-to-C leg retires the loan. Price that flat fee against your assignment spread before you sign: at McAllen's basis, with a mid-tier home value of $195,624 in June 2026, a fixed fee is a bigger share of a thin deal than it would be in a pricier metro. Subject to underwriting.