How cover EMD with limited money?

[Jonathan Hernandez]

Hi Everyone,

I'm working on my possible first wholesale deal. I have made an offer and the seller made a counter asking for a significantly higher EMD and a shorter close time. With that said, I'm not working with much money, which is the reason I decided to begin wholesaling. If I have a 2,000$ EMD for example but don't have the 2,000$ to open escrow, how can I fulfill the contract? Can I use the end buyer's EMD to cover mine so I don't have to put anything down to open escrow?

[James Heller]

Yeah that’s the way to go in my opinion. If you trust the person, I would bring them in as early as possible to get their opinion. This will avoid the “scrambling to find a buyer” part later on.

There are also large wholesale companies in many states (not sure about yours, I have New Western in mine) who have thousands of cash buyers and can help get your deal sold. They will tack another $5-10k on top of your deal and basically wholesale it to somebody else, this can be another nice option