Echo Funding in Kentucky | Swift Deal Funding
Echo Funding in Kentucky
Echo (transactional down-payment) funding covers the end buyer’s down payment at a Kentucky closing, then gets repaid from the seller’s proceeds — for a wholesaler, that’s your assignment fee. The buyer brings less cash, the deal closes, and we’re made whole at the table. Flat 2.5%, nothing out of pocket upfront.
In Kentucky, Echo fits the assignment side of an active market. Louisville’s deep wholesale inventory and Lexington’s expanding Bluegrass flip scene produce buyers who are financed but short on liquid down payment while the spread is solid. Funded amounts here typically run $15,000–$60,000, with capacity to $10 million.
How Echo closes in Kentucky
Kentucky is an attorney-closing state, so a licensed attorney conducts settlement and handles disbursement off a single statement — no separate escrow company to coordinate with. That’s clean for Echo: the buyer’s down payment and our repayment both flow through the same attorney in one motion.
Kentucky’s wet-funding rule reinforces the structure: funds must be in the attorney’s escrow before the deed records, so the down payment we provide is wired and confirmed before closing. When it records, the assignment fee on the seller’s side is split to repay our principal and the 2.5% fee. Kentucky relies on equitable-interest disclosure rather than a wholesaler-licensing statute. Confirm with your closing attorney that the Echo repayment will appear as a seller-side proceeds line.
Pricing
Flat 2.5% of the funded down payment. No application, origination, or upfront fees — collected through the settlement statement at close.
What you’ll need
- Executed purchase contract
- Executed assignment contract showing your assignment fee
- Assignment fee ≥ funded down payment + 2.5%
- Kentucky closing attorney ready to disburse the Echo repayment from seller proceeds
Local note: loop your closing attorney in early so the repayment line is built into settlement, not added at the table.
A typical Kentucky Echo scenario
You assign a Lexington duplex to a financed buyer at a $24,000 fee. The buyer needs $17,000 for the down payment to close on schedule. Echo wires the $17,000 to the closing attorney; at settlement the deal records, your $24,000 fee disburses, and $17,425 (principal + 2.5%) returns to us off the statement. You net $6,575 without fronting the buyer’s cash.
Echo vs. Stack in Kentucky
Both put cash at the table; they differ in repayment. Echo is repaid directly from seller proceeds (your assignment fee) at closing — use it when the fee is substantial. Stack is repaid by a recorded seller-carry second note — use it when seller financing is part of the structure.
Apply
Submit your purchase and assignment contracts online. We verify the fee covers the funded amount before approval. Standard turnaround is about 48 hours.
Frequently Asked Questions
Who disburses the Echo repayment at a Kentucky closing? +
The closing attorney does. Kentucky is an attorney-closing state, so a licensed attorney conducts settlement and handles the disbursement off one statement: the down payment we funded goes in, the deal closes, and your assignment fee is split so our principal plus the 2.5% fee comes back before you net. Tell your Louisville or Lexington attorney up front that the Echo repayment is a seller-side line item, and confirm they'll show it that way.
Is my Kentucky assignment fee large enough for Echo? +
The fee has to cover the funded down payment plus our flat 2.5%. On a $230,000 Lexington assignment with a $16,000 down payment funded, you'd need a fee of roughly $16,400 or more. Kentucky's moderate price points keep down payments manageable, so Echo fits well on Louisville and Lexington deals where the spread is healthy relative to the purchase price. We verify the fee clears the threshold before we approve.
Does Kentucky's wet-funding rule affect Echo? +
It reinforces it. Because Kentucky requires funds in the attorney's escrow before the deed records, the down payment we provide has to be there at the table anyway. We wire it so the buyer's side is fully funded, the closing records cleanly, and repayment comes straight out of the same disbursement the attorney handles. Confirm with your Kentucky closing attorney that the Echo repayment appears on the seller's proceeds line.
Apply for Echo Funding in Kentucky
Submit your application online — same-day decisions for complete files before 2 PM Eastern.