Wholesaling Real Estate Fee Calculator
Find the maximum wholesale assignment fee that leaves enough margin for your cash buyer to profitably flip or BRRRR the property.
How Real Estate Wholesaling Actually Works
A real estate wholesaler controls a property under contract from the seller, then assigns the contract to an end cash buyer for an assignment fee. The wholesaler never owns the property — they assign their rights to purchase to another party at closing, collecting the difference between their contracted purchase price and what the end buyer agrees to pay.
The math: Seller agrees to sell for $145K → wholesaler signs contract → wholesaler markets to cash buyers at $160K → end buyer assumes the contract and closes at $160K → wholesaler collects the $15K assignment fee at closing. Source: BiggerPockets wholesale community, REIA standards. Last updated: May 2026.
The Maximum Allowable Offer (MAO) Math
Your end buyer (typically a flipper or BRRRR investor) uses the 70% rule: MAO = ARV × 0.70 − Rehab. Example: $285K ARV, $40K rehab → MAO = $159,500. If your contract with the seller is $145K, your maximum wholesale fee is $14,500 ($159,500 − $145,000). Charge more than that and the buyer's margin gets too thin; they'll pass and you'll fail to assign.
Typical Wholesale Fees in 2026
| Deal Size (ARV) | Typical Fee Range |
|---|---|
| Under $100K (rural/D-grade) | $3,000-$6,000 |
| $100K-$200K (typical suburban) | $8,000-$15,000 |
| $200K-$400K (mid-tier) | $10,000-$25,000 |
| $400K+ (high-end / luxury) | $15,000-$50,000+ |
Wholesaler Mistakes That Kill Deals
(1) Greed on fee. Asking for $30K assignment on a deal that only supports $15K — buyer walks. (2) Bad ARV. If you over-estimated ARV by $20K, your '70% rule MAO' is overstated by $20K — fee math collapses. (3) Underestimating rehab. Investors are sophisticated; they'll deduct your rehab estimate plus 20% buffer. (4) No buyer list. Without 50+ pre-qualified cash buyers, you have no leverage and weak comps. (5) Wholesaling without proper assignment language — some states (IL, OK, KY) restrict wholesaling without a license. Verify state law.
Frequently Asked Questions
Is real estate wholesaling legal in my state?
Mostly yes, with state variation. Most states allow assignment of real estate contracts with proper 'assignment of contract' language. However, several states (Illinois, Oklahoma, Kentucky, Pennsylvania) have rules requiring a real estate license or specific disclosure to seller. Always consult a local real estate attorney before wholesaling in a new state.
How much should I charge as a wholesale fee?
$8,000-$15,000 is typical for $100K-$200K ARV deals. Larger deals support $15K-$50K. The math: max fee = MAO (ARV \u00d7 0.70 \u2212 rehab) \u2212 your contract price. Charging at the max often kills the deal; charge 70-80% of max to leave a buffer for your buyer.
Do I need a real estate license to wholesale?
Depends on state. Most states don't require a license to assign your own contract once \u2014 that's transacting in your own interest. Wholesaling repeatedly with no license is increasingly being challenged in some states. Get clarity from a state-licensed real estate attorney before scaling.
What is the 70% rule and how does it affect wholesale fees?
The 70% rule: max purchase = ARV \u00d7 0.70 \u2212 rehab. Most cash buyers use this rule to screen deals. Your wholesale fee must fit between your contract price and the buyer's MAO. Example: $200K ARV, $30K rehab \u2192 MAO $110K. If your contract is $95K, max fee is $15K.
Can I wholesale a property if I don't have cash buyers lined up?
Risky. Without a buyers list, you may not be able to assign the contract within the inspection/contingency period \u2014 leaving you to either close yourself or face seller-default litigation. Build a list of 50+ vetted cash buyers BEFORE submitting your first contract. Use Inspection contingency clauses as your exit lever.
How do I find motivated sellers for wholesaling?
Top channels by 2026 wholesale success rates: (1) Direct mail to absentee owners, pre-foreclosures, and inherited property lists (15-25% response rate when well-targeted), (2) Driving for dollars (vacant/distressed properties), (3) Bandit signs (legal restrictions vary), (4) Pay-per-click ('we buy houses' ads), (5) Networking with attorneys handling probate/divorce. Source: BiggerPockets 2026 community survey.