Wholesale real estate means getting a property under contract below market value, then assigning that contract to an end buyer for a fee. Your profit is the assignment fee. This calculator shows your deal economics and whether the numbers work for your buyer too.
In a wholesale deal, you find a distressed property and negotiate a purchase contract with the seller at a price below market value. Instead of buying the property yourself, you assign your contract to an end buyer — typically a flipper or buy-and-hold investor.
Your assignment fee is the difference between your contract price and what the end buyer pays. It's essentially your finder's fee for connecting a motivated seller with a ready buyer.
The key to a successful wholesale deal is making sure the numbers work for everyone: the seller gets a fast, hassle-free sale, you earn a fee, and the end buyer gets a property with enough margin to profit after rehab and resale.
70% Rule Quick Check
Many wholesalers use the 70% rule: the end buyer's all-in cost (purchase + rehab) should be ≤ 70% of ARV. Max Allowable Offer = ARV × 70% − Rehab.
Your Assignment Fee
$15,000
70% Rule Check
MAO: $170,000
⚠ Contract price exceeds the MAO — buyer margin may be tight
What does this mean?
An assignment fee of 5–10% of ARV is a solid wholesale deal. This is the sweet spot where you're making good money and the end buyer still has room for profit.
Keep running the numbers
Assignment fee calculated. Make sure the end buyer’s deal works too.
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