Wholesale Proof of funds

[Nia Baisden]

Hi I have a off market deals where the seller is working with an agent. The property isn't listed and they're willing to sell to me. I'm trying to get it under contract but they're asking for proof of funds for the purchase which is 219k plus a 5k EMD. Is there any strategies for getting proof of funds or working with a cash buyer to get the property under contract??

[David Ramirez]

I agree 100% with @Lydia R. Make sure your EMD with the seller is always less than the EMD that you are going to ask your end buyer. That way, if your end buyer backs out for some reason you can cover your EMD with the seller and still have some left.

I have this clause in my assignment contract that I would recommend everyone to have especially if you are putting a heavy EMD because of the seller's request.

This is not legal advice and you should consult with an attorney if you have questions!

The Assignor will use the funds from the earnest money deposited by Assignee as the earnest money deposit to the first and original Purchase Agreement and/or predecessor assignment of the Purchase Agreement. This Agreement does not transfer any earnest monies that the Assignor may have on deposit. Any earnest funds that the Assignor deposited with [insert name of escrow company] will be credited back to the Assignor upon receipt by Escrow Agent of Assignee’s earnest funds.