Earnest Money Deposits

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Earnest Money Deposit (EMD) Loans

Securing a property under contract often requires an upfront earnest money deposit. This is especially true in competitive wholesale deals. As a real estate wholesaler, coming up with this deposit can tie up your capital and limit your ability to scale. 

That's where our EMD financing helps.

We provide short-term loans specifically to cover the earnest money deposit on your wholesale deals. 

How it works:

- We evaluate the property, purchase terms, and your ability to assign the contract. 

- If approved, funds are wired directly to the title company or closing attorney to be held in escrow.

- EMD loan and fee for loan is paid in full at closing.


- Frees up your capital to secure more deals and grow your wholesaling business. 

- Speeds up the acquisition process so you can move quickly.

- Gives you a competitive edge with readily available EMD financing.

- Loans are based on the deal, not your credit or experience.

Let us provide the financing so you can focus on finding great deals. Contact us to learn more about our EMD loans for real estate wholesalers! Or click here to submit a Funding Request.

Using Earnest Money Deposits to Your Advantage as a Wholesaler

In real estate wholesaling, having your end-buyer send earnest money deposits to title can provide several benefits:

- Creates buyer commitment - An end-buyer is less likely to walk away if they already have money down.

- Buys you time to find an end-buyer - You can use the earnest money to put the property under contract while lining up a final buyer.

- Covers due diligence costs - Earnest money helps cover any inspections or appraisals needed.

- Provides exit strategy if deal falls through - Keeps you from losing money if the end-buyer's financing falls through because you get to keep his EMD. 

- Earn interest on the deposit - Some states allow you to earn interest on earnest money held in escrow.

- Sets timeline expectations - The deposit agreement can outline inspection period, closing date, and release of funds.

By requiring an earnest money deposit from the end-buyer, wholesalers give themselves more flexibility and protection. Make sure you consult an attorney to ensure your deposit agreements adhere to local regulations. With the right earnest money deposit strategy, you can reduce risk and create success.

Think of us next time you need EMD financing.  We're excited to help you lock down more deals and get a leg up on the competition, while also conserving your capital for other important uses.  Just give us a call when that perfect opportunity pops up, and we'll swiftly get your deposit funded! If you're ready now, submit a Funding Request by clicking here.