.webp)
The Power of Transactional Funding and Motivated Seller Leads
In the ever-evolving landscape of real estate investing, the ability to close deals quickly and efficiently can mean the difference between success and stagnation. Daniel Paloscio, a seasoned real estate investor and private lender, knows this better than most. His journey—from flipping homes to managing a portfolio of vacation rentals and running a nationwide transactional funding business—offers a blueprint for navigating modern real estate with strategic agility.
Whether you’re a wholesaler trying to protect a large assignment fee, a flipper looking for reliable funding, or an investor building a short-term rental portfolio, learning how to source motivated seller leads and leverage creative financing can elevate your business. Here’s how Daniel is doing it—and how you can, too.
Check out our other podcast episodes.
Getting Started in Real Estate: From Flipping to Lending
Daniel began his real estate journey in 2013 by flipping houses. But as he gained experience, he realized the key to accessing better deals was through marketing directly to sellers. This shift led him into wholesaling, which provided better deal flow and flexibility. Over time, he transitioned into private lending, leveraging his capital and industry relationships to fund deals and help other investors succeed.
Today, Daniel operates as a private lender, a partner in a vacation rental management firm, and a provider of transactional funding nationwide.
Daniel’s Ongoing Motivated Seller Campaigns
Daniel still actively runs motivated seller lead campaigns to source off-market deals. His investor mindset continues to drive his lending and management operations, keeping him grounded in what real estate investors truly need to succeed.
What Is Transactional Funding and Why Use It?
Transactional funding is a short-term loan, typically used for same-day double closings. In situations where a wholesaler doesn’t want their end buyer or seller to see their assignment fee—especially if it’s large—title companies may require the wholesaler (the B party) to fund their side of the transaction.
This is where transactional funding steps in: it provides the temporary capital needed to purchase the property from the seller before reselling it to the end buyer the same day. Unlike hard money loans, which come with hefty fees, points, and prepayment penalties, transactional funding is streamlined and inexpensive.
How Transactional Funding Works
Daniel’s company has simplified the process to make it accessible and fast:
- No underwriting, credit checks, or income verification.
- Clients only need acquisition and disposition contracts with the same title company, on the same day.
- Once those are in place, funding is guaranteed.
Their standard fee is 1% of the deal amount for loans under $1 million, with a $750 minimum plus a $100 processing fee.
Because the risk is minimal—the title company disburses funds and returns them—the efficiency and reliability of the process make it ideal for wholesalers.
California Title Filing Quirks
In California, most title companies aren’t allowed to file both deeds on the same day, which can increase risk. Daniel’s team has built relationships with a specific title company that enables next-day closings, making them one of the few providers willing and able to work in the state.
Why Daniel Offers Transactional Funding
Daniel created his transactional funding service from personal need. Early in his investing career, he had a deal with a large assignment fee that couldn’t be dry-closed. He paid an expensive hard money lender to fund the deal but knew there had to be a better solution.
Today, he’s funded hundreds—likely thousands—of these transactions and prides himself on reliability. His goal is simple: show up with the money, every time.
A Nationwide Reach—With a Few Exceptions
Daniel’s transactional funding is available across the United States with the exception of New York and Alaska. New York requires separate attorneys for each party and prohibits same-day double closings at one title company. California is also tricky, but Daniel’s team works with specific title companies to get it done with minimal delay.
For everyone else in the U.S., his platform—doubleclose.com—is the go-to for fast, dependable transactional funding.
Real Estate Investing, Not Just Lending
What sets Daniel apart from many lenders is that he’s still actively investing. He continues marketing for motivated seller leads and building his own portfolio. His insight as an investor ensures he understands the needs, pressures, and timelines his clients face.
He currently owns 10 short-term rental properties in the Tampa Bay area and co-manages a portfolio of 70–80 units through his company Vacation Rentals of Florida.
COVID’s Impact on Daniel’s STR Portfolio
Daniel’s STR portfolio skyrocketed during COVID as Florida remained open while much of the country was shut down. This surge not only boosted nightly rates but also doubled property values in his markets, reinforcing the importance of being in the right place at the right time.
Why Short-Term Rentals Make Sense
Daniel is a firm believer in short-term rentals (STRs) because they combine strong cash flow with properties located in A- and B-class neighborhoods. Unlike long-term rentals in C-class areas, STRs allow for higher nightly rates while enjoying appreciation and a better caliber of property and guest.
For instance, a property that might generate $4,000/month as a long-term rental could gross $110,000/year as a short-term rental.
Comparing STR Expenses to Long-Term Rentals
While STRs produce significantly higher gross income, Daniel emphasized the importance of factoring in higher expenses: utilities, lawn and pool care, furniture wear and tear, and labor. Still, the net cash flow and appreciation far outweigh those costs in prime markets.
Managing Short-Term Rentals Like a Business
Daniel and his partner started in STRs with a beachfront mansion acquired via rental arbitrage. Their experiment was wildly profitable, and they’ve since grown into a full-scale operation with:
- A general manager
- Maintenance and housekeeping teams
- Reservation VAs based in the Philippines
Their company provides full-service management—including guest communication, cleaning, and minor maintenance—freeing up investors to focus on growth.
Rental Arbitrage Origin Story
Daniel’s STR journey began when his partner cold-called owners on Zillow and landed a waterfront mansion in foreclosure for $5,500/month. They staged it, added makeshift bedrooms, and grossed $35,000 in their first month. That sparked their shift from flips to STRs.
The Reality of Guest Communications
Even with automated guides and checklists, guests still call to ask about dishwashers or light switches. Daniel stressed that STRs require real-time support and that many guests prefer human contact—making professional staffing essential.
Who Should Manage Their Own STRs?
While some investors consider self-managing STRs to save money, Daniel advises otherwise. Even a single STR is a 24/7 operation with constant guest needs. Instead of chasing pennies, investors can outsource to professionals and use their time to acquire more properties.
In Daniel’s words: "That one extra house could pay for property management across two or three units."
Daniel’s Perspective on Hiring Property Managers Early
Daniel shared a personal realization that managing his own STRs held him back from scaling. He emphasized that hiring a property manager—even when you own just one or two properties—can be a better long-term move. The time you free up can be used to acquire more income-generating assets, making the management fee well worth the trade-off.
When Daniel Turns Away Clients
Daniel and his team occasionally decline property management requests—particularly when the property is in a low-performing C-class area. If a home won’t perform well as an STR, he’s honest with the owner and may recommend switching to a long-term rental strategy.
Property Management Services in Florida
Vacation Rentals of Florida offers full-service STR management across the Tampa Bay metro. Daniel and his team prefer properties that gross at least $50,000/year and specialize in:
- High-end single-family homes
- Multi-unit vacation properties
- Full-service coordination (cleaning, repairs, guest support)
They also help clients evaluate whether their property is a better fit for long-term rentals, ensuring expectations and returns align.
How Daniel Evaluates and Onboards STR Management Clients
Daniel doesn’t just take on any client. While he and his team manage various property types, they focus on homes that will perform well as STRs. If a client’s property is in a location that’s unlikely to generate enough revenue, Daniel transparently advises against moving forward with STR management—protecting the client from poor returns.
In-House Maintenance Savings
To reduce costs, Daniel’s team handles all non-licensed minor maintenance in-house—avoiding frequent contractor calls. This saves owners money on repairs like squeaky doors or basic fixes.
Cleaning Fee Games in the Industry
Daniel pointed out that some companies offer lower management fees but inflate cleaning fees as a hidden profit center. His company maintains transparency in both management and pass-through expenses.
Helping Clients Acquire Properties
Beyond management, Daniel offers private lending within Florida. He’s helped several clients acquire STR properties with short-term loans and later refinance into long-term financing. This vertically integrated support—from acquisition to funding to management—makes his company a one-stop-shop for STR investors.
What Makes a Great STR Property?
The key, Daniel explains, is space and amenities. Properties near the beach that sleep 10–12 guests perform extremely well, especially among multi-generational families. Features like pools, game rooms, or Instagram-worthy decor can significantly boost occupancy and revenue.
In city areas like Tampa proper, smaller and trendier properties cater to younger travelers and perform better.
How to Connect with Daniel Paloscio
Daniel’s business ventures span multiple websites:
- Transactional Funding: doubleclose.com | Email: info@doubleclose.com
- Vacation Rental Property Management: bookvrof.com | Email: daniel@bookvrof.com
Key Takeaways
- Transactional funding is ideal for wholesalers doing double closings, especially when large assignment fees are involved and discretion is needed between buyer and seller.
- Daniel’s funding model is fast, low-risk, and hassle-free—no underwriting, credit checks, or income verification; just contracts and same-day closings with one title company.
- His company offers transactional funding nationwide, except in New York and Alaska, and even covers tricky states like California through trusted title partners.
- Daniel started as a flipper and wholesaler, which gives him a unique advantage in understanding investors’ funding and deal-flow challenges.
- He still actively generates motivated seller leads, keeping him grounded in the same marketing and acquisition tactics that his clients use.
- Daniel’s STR portfolio grew massively during COVID, proving the value of geographic timing and resilient markets like Florida.
- Short-term rentals in A- and B-class neighborhoods outperform long-term rentals by offering 3–4x higher cash flow plus greater appreciation potential.
- Managing STRs is labor-intensive and best outsourced—Daniel built a full internal team to handle bookings, maintenance, and guest issues 24/7.
- He advises against self-managing short-term rentals, even at small scale, as the time savings from outsourcing can help investors scale faster.
- His vacation rental management company only takes on properties with strong earning potential, ensuring both the client and company benefit long term.
- Daniel offers a vertically integrated solution—helping clients acquire, finance, and manage STR properties in Florida, creating a one-stop ecosystem for investors.
- He maintains transparency in management fees and avoids hidden costs, unlike some competitors who inflate cleaning or maintenance fees.
- Design and space matter in STR performance—properties with “Instagrammable” features, game rooms, or sleeping capacity for large families drive higher bookings.
- Investors should analyze who travels to their target market (families, younger guests, etc.) and buy accordingly—luxury for beaches, compact for cities.
Ready to Scale Your Business?
Whether you’re protecting a wholesale fee, looking to build passive income, or exploring STR opportunities in Florida, the path starts with one step: action. Start marketing for motivated seller leads, explore creative funding, and partner with operators who’ve walked the same path.
Visit doubleclose.com to get reliable funding for your next wholesale deal. Or reach out to Daniel for property management and lending solutions tailored to your goals.
Don’t wait for the perfect deal. Create it.
