7 Best Markets To Wholesale Real Estate (2025 Edition)
Jan 02, 2025
Wholesaling is one of the best and most lucrative real estate investing strategies. It’s less capital intensive, and beginners with no capital whatsoever can always maximize options like transactional funding that allow them to purchase investment properties without tapping into personal funds.
The best part? It’s a short-term real estate investment, meaning returns on invested capital are pretty fast. However, real estate wholesaling only has as much potential as the market in which it is taking place. Target the right location, and you’re likely to see healthy profits. That is why we compiled some of the best markets to wholesale real estate and included an example of wholesale market conditions below to help you determine the right place for your next deal.
Now, let's get into the best markets to wholesale real estate, starting with the following:
- 7 Best Markets To Wholesale Real Estate
- How To Determine The Best Market Conditions For Wholesaling Houses?
- Can You Wholesale Real Estate In Other States?
- Should You Wholesale In Your Local Market First?
- Wholesale Real Estate Example
- FAQs About Wholesaling Real Estate Markets
- Final Thoughts
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7 Best Markets To Wholesale Real Estate
Here are some of the best housing markets for wholesaling in 2025:
Texas
Texas is one of the country’s hottest markets not just for wholesaling real estate, but commercial real estate in general. As the second-largest state in the country in terms of size and population, The Lone Star State attracts hordes of experienced job seekers and employers annually, creating consistent year-over-year job growth.
It is home to fifty Fortune 500 companies, including McKesson and Oracle, and boasts an impressive string of A-list names in tech, such as Google, Apple, IBM, Tesla, and recently, Samsung. Even better, Texas is a zero-income tax state, making it an even better market for wholesalers and other investors in the real estate business looking to bag good profits.
Don’t know where to start? Head to Austin. It’s one of the best cities for wholesaling in Texas.
It has a booming tech industry, reasonable living costs, and is one of the fastest-growing big cities in the country, meaning there are plenty of wholesaling opportunities. Here are some basic stats for realtors and wholesalers looking to explore the Texan market:
- 2025 population: 29.145, 505
- Hottest real estate markets: Austin, San Antonio, Houston, Dallas
- Median home price: $299,467
- Vacancy rate 2025: 8.40%
Texas stands out as one of the best markets to wholesale Real Estate thanks to its thriving population and dynamic housing market. With a projected population of over 29 million in 2025, the state’s growth is fueling strong demand for housing. Major cities like Austin, San Antonio, Houston, and Dallas are consistently ranked as some of the hottest real estate markets, offering wholesalers plenty of opportunities to connect with motivated sellers and eager buyers. The median home price of $299,467 allows for profitable deals, while an 8.40% vacancy rate ensures a steady stream of potential properties. Texas truly offers unparalleled opportunities for real estate wholesalers.
Arizona
Although Zillow predicts home prices will increase at a slower rate this year than in 2021, Arizona, also known as the Grand Cayon State, remains one of the best wholesale real estate markets in the country.
It has been a hotspot for retiree's relocation in the past few years, but it’s slowly turning into a hotbed of job seekers, students, and investors seeking to enjoy the state’s zero-income tax benefits, warm weather, high job availability, and a strong public school system.
As a result, the state has been experiencing high rates of domestic migration in recent years, with the highest increase reportedly happening in 2021, particularly in Phoenix. The city reported a 1.7% increase in population, with most newcomers settling around its metropolitan area for affordable housing options and numerous entertainment opportunities.
For wholesalers, investing in Arizona means no taxes, hence low investment property prices, and as a state with high domestic migration rates, they’re also guaranteed a market for their wholesaling units.
- 2025 population: 7,151, 502
- Hottest real estate markets: Phoenix, Tucson, Scottsdale, Prescott
- Median home price: $427,379
- Vacancy rate 2025: 4.6%
Arizona is undoubtedly one of the best markets to wholesale real estate, offering a mix of high demand and lucrative opportunities. With a projected 2025 population of over 7.1 million, the state is experiencing significant growth, especially in cities like Phoenix, Tucson, Scottsdale, and Prescott. These markets are booming with activity, providing wholesalers access to both motivated sellers and eager buyers. The median home price of $427,379 allows room for substantial profit margins, while a low 4.6% vacancy rate indicates strong housing demand. Arizona’s diverse and expanding market makes it an ideal place for wholesalers looking to thrive in real estate.
Florida
Florida has been and is still one of the best markets for real estate investments, especially wholesaling houses. The Sunshine State is the third most populous in the country and is predicted to gain about 850 new residents daily in the next few years, creating even more demand for residential and commercial properties.
The population growth is, however, no surprise. Florida boasts fantastic year-round weather(hence its nickname), it’s an international tourist destination, and is home to numerous global business giants meaning investment and employment opportunities are often plenty.
Florida is also a zero-income tax state and has a government focused on supporting development through incentives, making it a prime location for real estate investments.
- 2025 population: 22 million
- Hottest real estate markets: Tampa, Miami, Orlando, Jacksonville, Cape Coral
- Median home price: $389,387
- Vacancy rate 2025: 5.4%
Florida shines as one of the best markets to wholesale real estate, thanks to its robust growth and vibrant housing market. With a 2025 population projected at 22 million, the Sunshine State offers endless opportunities in top cities like Tampa, Miami, Orlando, Jacksonville, and Cape Coral. These areas are not only real estate hotspots but also hubs for economic and population expansion. The median home price of $389,387 provides wholesalers with a perfect balance of affordability and profit potential, while a manageable 5.4% vacancy rate ensures a steady flow of opportunities. Florida's dynamic market is a goldmine for savvy real estate wholesalers.
Georgia
Georgia is the eighth-most populous state in the country, with an annual net population gain of approximately 114,000 new residents. Her economy is expected to grow by 4% this year and is home to global conglomerates like Equifax, Aflac, and NCR, making it a prime option for job seekers and investors.
Job growth, coupled with affordable living costs and low taxes, makes it one of the most desirable places to live and invest in. As a result, the Peach State usually has a tight housing inventory and high demand, meaning investment strategies like real estate wholesale is a pretty viable option. Home prices skyrocketed in Atlanta last year and continue to do so at a steady rate, making it one of Georgia’s hottest real estate markets in 2025 and beyond.
- 2025 population: 3,970,739
- Hottest real estate markets: Atlanta, Temple, Kennesaw, Winder
- Median home price: $326,280
- Vacancy rate 2025: 6.0%
Georgia is emerging as one of the Best Markets To Wholesale Real Estate, with strong growth and a thriving housing market. By 2025, the state’s population is expected to reach nearly 4 million, driving demand for properties, particularly in cities like Atlanta, Temple, Kennesaw, and Winder. These markets offer diverse opportunities, from bustling urban centers to charming suburban neighborhoods. With a median home price of $326,280, Georgia provides plenty of room for profitable wholesale deals, and a 6.0% vacancy rate ensures a healthy supply of potential properties. Georgia’s combination of affordability and growth makes it a top choice for real estate wholesalers.
Tennessee
Tennessee, fondly nicknamed the Volunteer State, is experiencing major population growth as more people move from California to Middle Tennessee. While reasons for migration vary, most new residents cite the state’s wealth of natural wonders, ease of access to nature, affordability, and political neutrality are some of the main draws to Tennessee.
The Nashville housing market, in particular, is expected to be even hotter throughout 2025 due to low inventory and high median prices. Now would be a great time to explore the region’s wholesale real estate. Here are some stats to give you an idea of what to expect
- 2025 population: 7.05 million
- Hottest real estate markets: Nashville, Knoxville, Chattanooga, Clarksville
- Median home price: $315,300
- Vacancy rate 2025: 6.6%
Tennessee is a standout among the Best Markets To Wholesale Real Estate, thanks to its growing population and diverse housing options. With a projected 2025 population of 7.05 million, the state is seeing sustained demand for homes in thriving cities like Nashville, Knoxville, Chattanooga, and Clarksville. These markets blend affordability and economic growth, offering wholesalers a chance to tap into a range of opportunities. The median home price of $315,300 is attractive for creating profitable spreads, while a 6.6% vacancy rate keeps the inventory active. Tennessee’s unique mix of vibrant cities and steady demand makes it a prime destination for real estate wholesalers.
New York
The past two years have been pretty good to flippers, wholesalers, and other real estate investors in the New York market. Although there was surplus inventory between 2018 and 2020, the 2020 pandemic spurred an increase in demand, leading to a steady but consistent rise in home prices throughout that year, up until now.
Housing demand is expected to increase even more by the end of this year as rental discounts offered by landlords due to the pandemic slowly come to an end, forcing priced-out renters to explore their house-buying options.
This, combined with limited inventory and an ever-growing population, makes The Big Apple a premium destination for wholesale real estate in 2025 and beyond.
- 2025 population: 8.85 million
- Hottest real estate markets: Manhattan, Brooklyn, Rochester
- Median home price: $764,868
- Vacancy rate 2025: 4.5%
New York is a top contender among the best markets to wholesale real estate due to its vast population of 8.85 million and diverse housing opportunities. Key markets like Manhattan, Brooklyn, and Rochester provide wholesalers access to both high-demand urban areas and more affordable suburban options. With a median home price of $764,868, the potential for substantial profit margins is undeniable. A low 4.5% vacancy rate underscores strong demand, making New York a lucrative state for savvy wholesalers.
Michigan
The pandemic hit Michigan’s real estate market hard, but it’s slowly and steadily recovering. The recovery comes as no surprise, as the state’s real estate has been pretty resilient in the past.
Property values increased by 7.8% in 2021’s last quarter and are about to increase further due to low inventory and high demand created by the high numbers of people moving to areas like Detroit city in search of greener pastures. Here are some important stats about Michigan’s real estate market:
- 2025 population:10 million
- Hottest real estate markets: Detroit, Flint, Jackson, Grand Rapids
- Median home price: $257,986
- Vacancy rate 2025: 4.4%
Michigan is a fantastic state for wholesale real estate in 2025, with its affordable housing market and growing opportunities. Major cities like Detroit, Grand Rapids, and Ann Arbor offer diverse inventory, from urban to suburban properties, ideal for wholesalers seeking variety. The state's ongoing economic recovery and housing demand make it an attractive market. Michigan's competitive median home prices and steady population provide wholesalers with the potential for strong deals and sustainable growth opportunities.
How To Determine The Best Market Conditions For Wholesaling Houses?
Housing markets are pretty diverse and change all the time, but there are several market conditions successful real estate investors use to determine a market’s wholesaling viability. These conditions include, but are not limited to, the following:
- Property Values and Inventory Supply
- Demographics
- Vacancy Rate
- Legislation
- Local Economy
Property Values and Inventory Supply
Reviewing property values is an easy way to determine whether a market is suitable for wholesaling. Appreciation suggests a strong real estate market that is suitable for wholesaling.
Although the rising values in such a market might prove tricky to find properties at discounted or below-market rates, wholesalers can secure homes at relatively standard prices and resell them at a big profit since it’s a seller’s market. Wholesaling in a failing market on the other hand requires top-level experience since you’re essentially looking to make profits in a real estate market with high inventory supply and low demand.
Take note of inventory supply as well. Wholesaling in a real estate market with limited inventory increases the likelihood of earning good ROI since there’s high demand, which in turn leads to rising wholesale property values.
Demographics
Demographics refers to the composition of a population in an area in terms of age, gender, race, and ethnicity. These factors directly impact wholesaling real estate market prices and the type of properties in demand.
For instance, demand for condos and detached townhomes is likely to be high in an area with a large population of baby boomers at 59 and above since they’re maintenance-free and have amenities nearby. As a result, flipping or wholesaling condo units in such an area is likely to earn you good profits. Demand for larger, multigenerational homes, on the other hand, will be high if an area’s population is largely young boomers(below 50)since they’re looking for units with extra room for their extended families.
Things are entirely different when it comes to Millennials and Gen Z. The former generation values experience, freedom, and convenience, and will often buy homes in culturally-immersed markets like Atlanta and New York. Gen Z potential buyers, on the other hand, prioritize the saving culture and are likely to opt for reasonably sized homes that offer the best bang for their buck.
So, even if a wholesale property seems lucrative, and you already have a motivated seller at hand, research an area’s demographics to determine whether it fits your target audience prior to investing. While weighing demographics, ensure you consider population growth, too. An increasing population often comes with increased demand, meaning high list prices and, consequently, good profits in wholesaling properties.
Vacancy Rate
Vacancy rate, as the name implies, is the percentage of units in a rental property that are unoccupied. High vacancy rates indicate poor rental sales, while lower rates suggest strong sales.
The higher the vacancy rate in a market, the better when it comes to wholesaling, and similar real estate investments. The high rate indicates either a shortage in rental units or excessively high rental property rates meaning the majority of the population might choose to buy over renting, hence creating a market ideal for wholesaling.
Legislation
Like demographics, government legislation directly impacts a market’s real estate demand, conversely affecting wholesaling. By offering tax credits and deductions, governments make it easier for people to buy homes, consequently increasing the demand. Such incentives also motivate homeowners to put their homes on the market in anticipation of good returns. The result? A balanced market where wholesalers can bag quality properties, at a discounted rate.
Besides incentives, government legislation also impacts how easy it is to buy and sell properties in a particular market. For instance, California was for the longest time a prime market for wholesaling, flipping houses, and other real estate investment strategies thanks to her excellent year-round weather, and consistent job growth.
Read Also: How To Flip Houses In California: 15-Step Home Renovation Guide
However, the region’s real estate market is steadily facing a decline after changes in tax regulations and excessive bureaucratic red tape. While there are still many lucrative wholesaling opportunities in California and similar states, remember to do due diligence on pending and upcoming incentives and policies that might affect wholesaling to determine whether a particular market is worth dipping your toes into.
Local Economy
If an area has a strong economy, it means the job market is booming, inflation levels are low to moderate, and locals have a higher purchasing power. The result? They can afford to buy homes, boosting real estate demand and leading to high, profitable list prices for wholesaling, flipping, and other investment properties.
Can You Wholesale Real Estate In Other States?
The beauty of wholesaling houses is that they have a low entry barrier. Investors only need to identify motivated sellers and transfer real estate contract rights to interested potential buyers. That means you can wholesale real estate both in and out of state, including some of the best virtual wholesale markets.
With this virtual wholesaling is made possible as technology has completely transformed the real estate industry. You’ll agree on a buying price with the homeowner, find a reliable potential buyer in your network, and transfer contract rights to them. Property tours, appraisals, price negotiations, and even document signing can be virtual thanks to platforms like Zoom and Skype.
Once the deal is done, the end buyer sends cash to the homeowners, after which he/she sends you your profit. Wholesaling in other states allows investors to tap into less competitive housing markets and is less stressful as most of the processes, from appraisals to closing, are often virtual.
You can wholesale in different states and work in multiple markets. You just need to do the research on the best states to wholesale real estate so that you can plan your strategies.
However, note that different states have different real estate regulations, and the line between wholesaling and brokering can be pretty blurry for some sellers and end buyers. Be sure to seek a detailed wholesale training program to determine what strategies work best, and take a step in educating yourself regarding a state’s real estate laws and regulations before you start exploring distressed properties for wholesaling in its market.
Should You Wholesale In Your Local Market First?
Although most people buy investment properties in entirely different, far away markets, wholesaling houses in your market first is a smart choice. You can physically attend property appraisals, allowing you to make wiser investment choices.
You are also well familiar with the market conditions, which makes it easy to determine the right time to sell the wholesale unit to flipping investors or interested cash buyers. Additionally, real estate wholesaling in your market first makes things a tad easier as you already have an established investor network unlike in other markets or the best markets to wholesale real estate 2025, where you may have to start building it from scratch.
For first-time investors, wholesaling in your market first lets you learn and improve your trade before you take on larger, diverse markets.
The catch? Competition might already be too high. Either way, wholesaling in your market has more perks than cons and is a particularly smart choice for both new and established wholesaling investors.
Wholesale Real Estate Example
Wholesaling is one of the most flexible real estate investment strategies. Investors don’t typically buy properties, meaning reduced capital requirements, and unlike flippers who need to renovate, they only need to find an end buyer, meaning quick returns. Here’s an example highlighting a typical wholesaling transaction:
A motivated seller inherits a distressed property from their parents, and as much sentimental value as it holds, they lack the time to deal with repairs and are willing to sell it to the first buyer at market value, which is $400,000.
If a wholesaler comes to such a property, they’ll set up a contract at $400,000, and market it to their investor network and other buyer lists they may have at a profit, probably $430,000 or above depending on market conditions.
Once they find an end buyer, for instance, a flipper or rehabber, and the transaction successfully goes through, they’ll keep the profit of $30,000 while the owner keeps the $400,000.
FAQs About Wholesaling Real Estate Markets
Looking to uncover the best markets to wholesale real estate? Our FAQ section dives into the most pressing questions to help you identify lucrative areas, navigate market trends, and maximize your profits. Whether you're just starting or looking to expand your investment portfolio, this guide has the insights you need to succeed.
What are the best types of properties to wholesale?
The best types of properties to wholesale are distressed or undervalued properties that appeal to cash buyers looking for investment opportunities. These include fixer-uppers, foreclosure homes, inherited properties, and vacant properties in markets known as the best markets to wholesale real estate. These properties often come with motivated sellers, allowing investors to secure deals below market value.
How do I find buyers in a new market?
To find buyers in a new market, start by building a strong cash buyer list through local real estate investor meetups, online forums, and platforms like Facebook Groups and LinkedIn. You can also leverage tools like InvestorLift or PropStream to locate active buyers in the best markets to wholesale real estate. Networking with real estate agents and attending property auctions are other effective strategies.
Can I wholesale real estate remotely?
Yes, you can wholesale real estate remotely, especially if you focus on the best markets to wholesale real estate with strong demand from investors. By utilizing virtual wholesaling tools like video tours, electronic document signing, and virtual assistants, you can manage the entire transaction process without being physically present. Many wholesalers successfully close deals across states using these methods.
How much money do I need to start wholesaling?
Wholesaling real estate requires minimal upfront capital compared to other investment strategies. While you don’t need to purchase properties, having some funds for marketing (like direct mail campaigns or paid ads) and tools for identifying leads in the best markets to wholesale real estate can improve your chances of success. Typically, a few hundred to a few thousand dollars is sufficient to get started.
What is the biggest challenge in wholesaling real estate?
The biggest challenge in wholesaling real estate is finding quality leads and motivated sellers in competitive areas, even in the best markets to wholesale real estate. Overcoming this requires consistent marketing, building strong networks, and mastering negotiation skills to secure properties at the right price. Tools and mentorship programs can help new wholesalers navigate these obstacles.
How long does it take to close a wholesale deal?
Closing a wholesale deal typically takes 30-45 days, though experienced investors in the best markets to wholesale real estate can often complete transactions more quickly. The timeline depends on factors such as the property’s condition, the seller’s motivation, and how quickly you can find a cash buyer. Proper planning and preparation can streamline the process.
Final Thoughts
Wholesaling is the best strategy for beginners who are looking to enter the real estate investing market, and seasoned real estate agents looking to make a quick buck. Although it has its disadvantages, it accrues greater advantages, such as risk-free investments and good profits within a short while. They stand to benefit even more if they’re aware of the best markets to wholesale real estate.
You stand to benefit more when aware of what are the best areas to wholesale, which is why we covered not just states but also some of the best cities and places to wholesale real estate in the country.
Torn between investing in and out of state? Well, both have perks, and whether or not to invest in your market first depends on preference and, most importantly, experience. For beginners just learning the ropes, investing in your market is the way to go.
It lets you learn how to find, assess, and acquire pre-foreclosure, foreclosure, and distressed properties at a discounted rate, test your lead generation and management systems, and build an investor network before you attempt to explore bigger, complex real estate markets.
Ready to Take the Next Step in Real Estate Investing? Join our FREE live webinar and discover the proven strategies to build lasting wealth through real estate.
Whether you're just getting started or ready to scale, we'll show you how to take action today. Don't miss this opportunity to learn the insider tips and tools that have helped thousands of investors succeed! Seats are limited—Reserve Your Spot Now!
*Disclosure: Real Estate Skills is not a law firm, and the information contained here does not constitute legal advice. You should consult with an attorney before making any legal conclusions. The information presented here is educational in nature. All investments involve risks, and the past performance of an investment, industry, sector, and/or market does not guarantee future returns or results. Investors are responsible for any investment decision they make. Such decisions should be based on an evaluation of their financial situation, investment objectives, risk tolerance, and liquidity needs.