A wholesaler never closes on the property — they assign their purchase contract to an end buyer for a fee, profiting from the spread alone.
How it works
The assignment fee is simply the assignment (resale) price minus the original contract price negotiated with the seller. The end buyer’s total acquisition cost is the full assignment price, not the original contract price.
What this does not include
This doesn’t include earnest money, marketing costs to find an end buyer, or the risk of a deal falling through before assignment — all real costs and risks a wholesaler bears that this simple spread calculation doesn’t capture.
How to use this calculator
- Enter the original contract price and the assignment price to the end buyer.
Frequently asked questions
Does the wholesaler ever own the property?
No — they hold an equitable interest through the purchase contract, then assign that contract (and its rights) to an end buyer who closes directly with the original seller.
Is wholesaling legal everywhere?
Rules vary by state, and some states have specific licensing or disclosure requirements for wholesaling activity — this calculator computes the math only, not legal compliance.
What if the assignment price is lower than the contract price?
The fee comes out negative, meaning the wholesaler would lose money on the assignment — a real possibility this calculator reports plainly rather than hiding.
