I assume this is a letter of intent agreement and not yet a purchase agreement. Actually quite a few brokers do this but that doesn't mean they get away with it. First of all any deposit is negotiable. So if you had to do the deal the amount could be as low as $500. Reminds me of a car dealer who tried to scam me for $1000. However, most reputable brokers who are reasonably deal smart know this won't fly. Sometimes deposits are asked for on binding LOIs which makes slightly more sense but I would never sign a binding LOI. And I would never put a deposit down on a LOI period. The broker would have you believe you are taking the deal off the market or tieing up the seller in some way but that doesn't fly either. The fact is you are going out of pocket on time spent, deal costs, due diligence and opportunity costs against other deals. So if I want to play that game I just say fine, seller has to post the same amount in case he's wasting my time. Of course it never comes to that.

The more pertinent question is whether the broker will proceed to ask for a deposit on the purchase agreement, which is more common. I don't do that either although I have been asked to deposit anywhere up to $100,000 on occasion. These days companies have a difficult enough time selling and buyers buying that people realize they don't need all the obstacles. A big deposit on a contract is easily a deal killer and so brokers aren't as tough as they once were. And I have a basketful of reasons to throw at them as to why it doesn't make sense.