Wholesaler Asking A GoodFaith Deposit(GFD)

I am buying a property from a wholesaler
and he is asking for a $500 Good Faith Deposit. I rather place the Good Faith Deposit in my attorney trust account. Do you generally take GFD's and if so, isn't it fine if it is kept in a trust account?

Comments(2)

  • pino3rd September, 2004

    Good question. I'll let someone with actual experience answer!

  • jam2003rd September, 2004

    'Round here, most wholesalers ask for an earnest money deposit of anywhere from $500.00 to $1,500.00. Some ask more, but this is usually the range. That Good Faith Deposit sounds mighty similar. The wholesalers usually give it to the closing attorney's to put into escrow...

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