Wholesales comparison shopping

[Ed Neuhaus]

I have been talking to a few whole-sellers about buying there properties.  Some of them what $5,000 non refundable and close in 7 days, other want $3,000 and close in 15.  

What is typical where you are? 

[Lou Castillo]

What Wholesalers are looking for is assurance that you are going to close. Typically they have a house under contract for just 30 days and have already used some of that advertising the property. They need you to close prior to the expiration of their contract.

Non-refundable earnest money is typical if YOU don't perform. If they or the Seller do not perform, then the money should be refundable.

I typically ask for $2,000 non-refundable and close in 2-3 weeks depending on how much time I have available and the buyers source of funding. I would ask to have an attorney or title company hold that large of an earnest money deposit and not give it directly to the wholesaler. I have no problem with a buyer wanting to do that (as long as it is MY attorney holding the funds.