Wholesale Real Estate Guide

Everything you need to know about wholesale real estate, finding off-market deals, and assigning contracts.

Launch your real estate wholesaling business. Sourced off-market leads, underwrite properties, and assign contracts cleanly.

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Investment Margin Protection Framework

What Wholesaling Involves

The process of placing distressed properties under contract and assigning the purchase rights to end-buyers (flippers or rental investors) for a flat assignment fee.

Why Underwriting Rules Matter

Wholesale deals are only assignable if they contain real margin. Distressed deals require precise MAO calculations so end-buyers can secure their target ROI.

3 simple steps

Underwriting Action Strategy

1

Source Distressed Deals

Target off-market opportunities, expired retail listings, and motivated sellers.

2

Calculate Buyer margins

Apply the MAO rule to ensure the property fits a flipper's return targets.

3

Assign for a Fee

Secure the contract and assign the purchase rights to your buyers list for an assignment fee.

Most investors lose money here — avoid these mistakes:

  • Over-promising profit margins to end-buyers without evidence.
  • Not building a solid, pre-vetted active buyers list before sourcing deals.
  • Failing to confirm properties can clear title prior to listing.

Example Scenario

Interactive MAO Calculator

After Repair Value (ARV)$250,000
Renovation/Rehab Budget$45,000
Target Assignment / Wholesale Fee$15,000
Rule Threshold (Flipping standard: 70%)70%
Maximum Allowable Offer (MAO)
$115,000

Do not exceed this value or your target margin collapses.

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  • Break down your deal in plain English
  • Estimate risks and hidden costs
  • Suggest offer strategies
  • Answer real-world investing questions

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You can calculate this manually, or use our deal analyzer.