Investor Agent · Burke, VA · Member since 2014 · 243 posts · 12 votes
Hi, I'm just wondering if anyone has had any experiences with a seller objecting to a small EMD, like $100? If so, what rationale do you use to explain it?
Are you planning to buy the property or tie it up and try to resell to someone else? I would look at $100 to be no skin in the game at all especially on something more than a $15k-$20k class property. Maybe they have heard of people not really wanting to buy the houses and walking away when they couldn't find a buyer. Personally I put up $2000 at least to show I am serious.
Are you planning to buy the property or tie it up and try to resell to someone else? I would look at $100 to be no skin in the game at all especially on something more than a $15k-$20k class property. Maybe they have heard of people not really wanting to buy the houses and walking away when they couldn't find a buyer. Personally I put up $2000 at least to show I am serious.
don't listen to these guys. If they are truly motivated sellers, which is who we as wholesalers market to then they just want to get out of the house or to sell it. I use $10 and in FL I don't have to use anything. But I guess if it is a smoking great deal put the EMD up in escrow because you will get it back once you sell.
I have used as little as $10. I often say here is a deposit to make the contract legal. If they object you can say "Normally the deposit would be held by the agent or title company so you wouldn't see it until closing anyway."
Now, when wholesaling you should only be doing deals you are confident you should be able to pull off, so putting up a real deposit like $1,000 shouldn't be a problem. If you are trying to do listed deals with small deposits you are not only fooling yourself you are looking like a fool to others.