Can you wholesale real estate with no money?
You can wholesale without money for the purchase, because the cash buyer funds the closing, but not with zero money. You still pay for lead marketing, property data, contract and signing tools, and sometimes an earnest money deposit that is refundable during your inspection period.
Keep the deposit small, and make sure the contract’s inspection period gives you time to find a buyer before the deposit is at risk.
Start with one or two lead sources you can afford to run consistently. A steady low-cost channel beats a large one you stop paying for.
Common mistakes
- Spending everything on one marketing burst and having nothing left for follow-up.
- Signing a large deposit that becomes non-refundable before you have a buyer.
- Planning a double close you cannot fund.
More questions
How much should I budget to start?
Enough for a few months of one lead source, your data and software, and a small refundable deposit. The exact amount depends on your market and the channel you choose.
Who pays for the closing?
In an assignment, the end buyer funds the purchase at closing and the fee is paid from the proceeds. In a double close, the wholesaler needs funds for the first purchase, often transactional funding.
Can I sign a contract with no earnest money?
Some sellers accept a very small deposit, but some states set minimum deposits for wholesale agreements. Ask a local attorney what your contract needs.