How much percentage of EMD do you usually request from the buyer when wholesaling a house? Does it depend on the Arv of the house? or is there a flat percentage you use on all deals?
That is completely dependent on your comfort level with the buyer. I have seen 1%, I have seen 5%, I have seen $1,000 set. The best answer I suppose is as little as possible when you are the buyer and as much as possible when you are the seller.
@Patrick Daniel , Thank you for the input! I was just wondering because I've heard people using all different amounts and percentages. Definitely going with the comfort level of the buyer to determine the EMD price. Thanks again!
Depends on what the seller is comfortable with. Some prefer a large (normal) deposit of 1 or 2 percent of the purchase price with some contingency in the offer. Some prefer a small non-refundable deposit (maybe only $200) with no contingencies in the offer. Whatever you choose to go with, make sure your contracts are written properly to protect yourself accordingly.
Depends on your comfort level and asking price