R.E.I. Capital Funding


How to Start a Wholesale Business and Keep It Successful

What is Real Estate Wholesaling?

The premise is simple. Real estate wholesalers find great deals on properties, place them under contract and sell/assign the rights to the contract to a qualified end buyer – usually a real estate investor.

A real estate wholesaler executes a contract with a home seller, markets the contract to the property to potential end buyers, and assigns the contract to the buyer. The wholesaler makes a profit – called the “assignment fee,” which is the difference between the contracted price with the seller and the amount paid by the end buyer.

There is massive wholesale profit potential in servicing the needs of real estate investors because they are always looking for high-equity properties. Most active real estate investors are busy managing fix and flip projects or rental property.

This creates a big demand for wholesale properties and the services of a real estate wholesaler.

The successful wholesaler has to have a firm grasp of what makes for an attractive deal. Once you understand this, the path to wholesale profits becomes much easier. Fortunately wholesaling can be broken down into a series of repeatable steps that creates a solid income for those who master their markets.