A wholesale assignment only works when the end buyer still has a compelling deal. The maximum allowable offer should be based on buyer economics, not the spread you hope to collect.
Start with the buyer's exit
Estimate the after-repair value from credible comparable sales, then subtract the buyer's required profit, rehab, financing, holding, selling, and transaction costs. What remains is the most the buyer can pay while preserving the target return.
Different buyer types use different criteria. A landlord may care about stabilized cash flow while a flipper focuses on resale margin.
Separate the assignment fee
Your contract price plus assignment fee must still fit below the buyer's maximum. Keeping the fee separate makes the negotiation and disposition math clear.
A large theoretical spread is meaningless if the rehab or ARV cannot survive buyer diligence.
Show the evidence
A professional buyer packet should show comps, scope assumptions, access details, photos, and a concise calculation. Clarity reduces back-and-forth and builds a repeat buyer list.
- Use a range for rehab until contractor evidence exists.
- Do not market an ARV without comparable support.
- Recalculate when the seller price or scope changes.
PropLurk keeps assumptions and outputs together so you can test the downside before moving a deal into your pipeline.
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