Wholesaling is often called the lowest-capital way to get started in real estate investing because you never need to buy, rehab, or hold the property yourself. Here's the process from start to finish.
1. Understand the wholesale model
You find a property owner motivated to sell quickly (often below market value), sign a purchase contract with them, then assign your right to purchase that contract to a cash buyer/investor for a fee — typically $3,000-$15,000 per deal as a rough estimate, though this varies enormously by market and deal size.
2. Build your buy box
Decide your target market, property types, and price range. A focused buy box (e.g., "vacant single-family homes under $180k in a specific county") makes lead generation and buyer matching much faster than a vague "any distressed property anywhere" approach.
3. Generate motivated seller leads
Use public records (pre-foreclosure, probate, tax delinquent, code violations), driving for dollars, or an AI search tool. Offr AI turns a plain-English buy box into 25+ ranked leads with skip-traced owner phone numbers, which removes a huge chunk of manual research time. See how to find off-market properties for more detail.
4. Contact and qualify the seller
Call using a respectful, low-pressure script. Ask about their timeline, condition of the property, and reason for selling. Determine motivation level — sellers facing foreclosure, probate, or a vacant/burdensome property are typically more open to a fast, as-is cash offer.
5. Run the numbers before making an offer
Calculate:
- ARV (After Repair Value) — what the home would sell for fully renovated
- Rehab estimate — cost to bring it to that condition
- MAO (Maximum Allowable Offer) = ARV × 70% − Rehab costs (a common industry rule of thumb, adjustable by market)
See how to estimate ARV and how to estimate rehab costs for formulas.
6. Negotiate and sign the purchase contract
Present your offer with the reasoning behind it. Use a standard purchase and sale agreement with an assignment clause ("and/or assigns") so you retain the right to assign the contract to another buyer. Offr AI auto-fills these assignment contracts and supports e-signature to speed this step up.
7. Market the contract to your cash buyer list
Send the deal (address, ARV, rehab estimate, your assignment fee, and photos) to buyers whose buy box matches. Offr AI's cash-buyer matching surfaces investors who have bought similar properties nearby.
8. Assign the contract and collect your fee
Once a buyer agrees, sign an assignment agreement transferring your contract rights to them for your fee. The closing happens at a title company, and you're paid your assignment fee at (or before) closing, typically wired or via check.
Wholesaling Deal Timeline (Estimate)
| Stage | Typical Duration |
|---|---|
| Lead generation to signed contract | 1-10 days |
| Marketing to cash buyers | 1-7 days |
| Assignment signed to closing | 1-3 weeks |
| Total deal cycle | 2-4 weeks (estimate) |
9. Track your numbers and refine
After each deal, review what worked: which lead source produced the seller, how you arrived at your offer, and how quickly buyers responded. This data compounds — over time you'll narrow in on the buy box and outreach cadence that converts best for you.
A note on legality
Wholesaling regulations differ by state — some states require disclosure of your intent to assign, and a few restrict marketing a property you don't own. Laws vary by state and change over time, so confirm current requirements with a local real estate attorney before operating in a new market.
To practice negotiation and contract mechanics before your first deal, the Academy (included with the All-Access plan) covers scripts, objection handling, and deal structuring in more depth.