Wholesaling - Earnest Money Deposit (EMD)

[Kyle Simmons]

I have a question(s) regarding EMD:

How much should I ask for from a potential buyer? (I heard that 1% - 2% of the purchase price is ideal).

Where does the earnest money go, when all is said and done?

[Gilbert Ross Jr]

Usually investors ask from an amount that they feel will have the buyer vested in the deal. In other words an amount that would make it hard for the investor to woke away from the deal. That could be one or two percent of the purchase or more. Investors will tie up your deal if they are not vested.