Real Estate Investor · Buffalao, NY · Member since 2009 · 9 posts · 0 votes
Hello Everyone,
I was just wondering do I need any up front cash to wholesale any property?If a lawyer, real estate agent etc get involved with a transaction, will I need to pay them up front or do they get paid when the deal closes?
A real estate agent gets paid when the deal closes. An attorney will probably want at least a portion up front. You will need an earnest money deposit to bind the contract, how much you need will vary.
The FSBO's that i've dealt with will go along with what you put in your contract, I put $100.00 in my contracts to be held in escrow by the title company of my choice. I personally will not give the earnest money to the seller. It's just my opinion but I feel that truly motivated sellers should have no problem with a 3rd party holding the earnest money.
I have heard of Realtors asking for $500.00 - $1000 earnest money and righfully so....to many flakes in this world to tie up thousands of dollars for $10.00 earnest money. That's just my experience here in OR.