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Once the wholesaler finds an interested buyer, they assign a wholesale contract to the buyer, granting them the exclusive right to purchase the property. This assignment contract transfers all obligations from the wholesaler to the buyer. The buyer can then purchase the property directly from the seller.
Assignor: the real estate wholesaler. This is the person who is the buyer under the original purchase agreement and who is selling or transferring their rights and obligations under that contract. Assignee: the end buyer.
One of the things proper wholesale real estate contracts add is the phrase ?and/or assigns? next to your name. This clause will give you the authority to sell the property or assign the property to another buyer. You do need to disclose this to the seller and explain the clause if needed.
An assignment fee in real estate is the money a wholesaler can expect to receive from an end buyer when they sell them their rights to buy the subject property. In other words, the assignment fee serves as the monetary compensation awarded to the wholesaler for connecting the original seller with the end buyer.
The average assignment fee for a real estate wholesaler is between $2000 and $7000. Of course, this number will depend on the market you're in as well as the level of experience that you have. Many wholesalers charge upwards of $10,000 or even $20,000 for their assignment fee.