Our research team conducted a comprehensive study analyzing wholesale real estate assignment fees across the United States. We collected data from over 1,000 professional real estate wholesalers operating in 19 states and 38 major metropolitan areas. This report aggregates benchmarking data on assignment fees by location, experience level, property type, and market conditions to provide wholesalers and real estate investors with actionable insights for pricing strategies.
National Average Assignment Fee by State
The wholesale real estate industry shows significant regional variation in assignment fees. Higher-cost markets like North Carolina and Georgia command the highest average fees, while emerging markets like Arizona show lower average assignment fees. Understanding these geographic differences is essential for wholesalers who operate across multiple markets or are considering expansion.
The Average Wholesale Assignment Fee by State: 2025
| State | Average Assignment Fee |
|---|---|
| North Carolina | $22,000 |
| Georgia | $22,000 |
| Missouri | $18,000 |
| Louisiana | $15,000 |
| New Jersey | $15,000 |
| California | $14,000 |
| Florida | $13,000 |
| New York | $13,000 |
| Iowa | $12,000 |
| Maine | $12,000 |
| Massachusetts | $12,000 |
| Nebraska | $12,000 |
| Texas | $11,000 |
| Ohio | $11,000 |
| Alabama | $10,000 |
| Illinois | $10,000 |
| Michigan | $10,000 |
| Pennsylvania | $10,000 |
| Arizona | $5,000 |
Note: This research includes data from the 19 states with the most active and documented wholesaling markets where reliable fee data was available. The remaining 31 states were excluded due to insufficient verified wholesaling data or lower market activity.
The data reveals that the national average wholesale assignment fee across these 19 active markets is $13,000. North Carolina and Georgia lead with the highest average fees at $22,000, representing a 69% premium over the national average. This premium reflects strong population growth, limited housing inventory, and high investor demand in these markets. Arizona shows the lowest average at $5,000, driven by increased wholesaler competition and different market dynamics in the Southwest.
Assignment Fees by Major Metropolitan Markets
City-level analysis reveals even greater variation in assignment fees than state-level data. Metropolitan markets with strong real estate fundamentals, limited inventory, and high renovation profit margins support higher assignment fees.
The Average Assignment Fee by Top Wholesaling Cities: 2025
| City | Average Assignment Fee |
|---|---|
| St. Louis, MO | $25,000 |
| Wellington, FL | $22,000 |
| West Palm Beach, FL | $22,000 |
| Charlotte, NC | $22,000 |
| Augusta, GA | $22,000 |
| Los Angeles, CA | $20,000 |
| El Paso, TX | $15,000 |
| Union City, CA | $15,000 |
| Kansas City, MO | $15,000 |
| New York, NY | $15,000 |
| New Orleans, LA | $15,000 |
| Lincoln Park, IL | $14,000 |
| Des Moines, IA | $12,500 |
| Houston, TX | $12,000 |
| Miami, FL | $12,000 |
| Boston, MA | $12,000 |
| Orlando, FL | $11,000 |
| Columbus, OH | $11,000 |
| San Antonio, TX | $10,000 |
| Detroit, MI | $10,000 |
| Dallas, TX | $7,500 |
| Sierra Vista, AZ | $5,000 |
St. Louis leads all metropolitan markets with an average assignment fee of $25,000, 92% above the national average. Multiple Florida markets, including Wellington and West Palm Beach, command $22,000 average fees, driven by strong migration trends and high property values. The wide range from $5,000 to $25,000 demonstrates the importance of market selection for maximizing wholesaling profitability.
Assignment Fees by Property Type
Different property types present varying levels of complexity, investor demand, and profit potential, directly impacting appropriate assignment fees.
The Average Assignment Fee by Property Type: 2025
| Property Type | Typical Assignment Fee Range | Average Assignment Fee | Deal Complexity |
|---|---|---|---|
| Single-Family Residence (SFR) | $5,000 – $20,000 | $10,000 | Moderate |
| Multi-Family (2-4 units) | $8,000 – $25,000 | $15,000 | High |
| Multi-Family (5+ units) | $15,000 – $50,000 | $30,000 | Very High |
| Condos / Townhomes | $3,000 – $12,000 | $7,500 | Low to Moderate |
| Land / Lots | $2,000 – $15,000 | $5,000 | Variable |
Single-family residences represent the majority of wholesale transactions, with assignment fees averaging $10,000. Multi-family properties command higher fees due to increased complexity and larger deal sizes, with 5+ unit properties averaging $30,000 in assignment fees. Condos and land typically generate lower fees due to more limited buyer pools and lower transaction values.
Assignment Fee Calculation Methods
Wholesalers use various methodologies to determine appropriate assignment fees based on deal characteristics and buyer expectations.
The Common Assignment Fee Calculation Methods: 2025
| Calculation Method | Typical Formula | Best Use Case | Average Fee Result |
|---|---|---|---|
| Percentage of ARV | 3-5% of After Repair Value | High-value properties | $10,000 – $25,000 |
| Percentage of Spread | 10-25% of profit spread | Competitive markets | $5,000 – $15,000 |
| Percentage of Contract | 5-10% of the purchase price | Standard deals | $7,500 – $15,000 |
| Fixed Minimum Fee | $5,000 – $10,000 flat fee | Lower-value properties | $5,000 – $10,000 |
| Buyer Profit Share | 25-50% of the buyer’s expected profit | Strong buyer relationships | $10,000 – $30,000 |
The most common approach is charging 25-50% of the end buyer’s expected profit, ensuring the buyer maintains sufficient margin to justify the purchase. Many wholesalers also apply the 70% rule (buyer pays no more than 70% of ARV minus repairs) when calculating their maximum allowable offer, then subtract their desired assignment fee to determine the offer price to sellers. In markets with tight margins, wholesalers may use a fixed minimum fee of $5,000-$10,000 regardless of deal size.
Factors Influencing Assignment Fee Variations
Multiple market and deal-specific factors impact appropriate assignment fees beyond simple geographic location.
The Key Factors Affecting Assignment Fees: 2025
| Factor | Impact on Fee | Explanation |
|---|---|---|
| Property Condition | +30% to -40% | Turnkey homes justify smaller fees, while distressed or heavy-rehab properties support significantly larger assignment margins. |
| Market Competition | -20% to -50% | Highly saturated wholesaling markets drive fees down, while exclusive or low-competition markets allow for premium pricing. |
| Buyer Relationships | +15% to +25% | Strong, repeat buyer relationships enable higher assignment fees due to trust, guaranteed closings, and lower uncertainty. |
| Deal Timeline | -10% to +20% | Fast closings justify higher fees, while long or uncertain timelines typically require fee reductions. |
| Property Location | +40% to -30% | Desirable, high-demand neighborhoods support premium fees; challenging or lower-demand areas force wholesalers to adjust downward. |
| Market Conditions | +25% to -35% | Strong seller markets enable wholesalers to command premium fees, while slow or high-inventory markets require significant fee reductions. |
Market competition shows the strongest negative impact, potentially reducing fees by 20-50% in saturated wholesaling markets. Conversely, properties in premium locations or hot markets can support 25-40% fee increases. Deal-specific factors like buyer relationships and closing timeline can add 15-25% to base assignment fees when wholesalers provide exceptional value through speed and reliability.
Key Takeaways
Understanding average wholesale assignment fees is essential for real estate wholesalers to price their services competitively while maintaining profitability. The data reveals significant variation across markets, with assignment fees ranging from $5,000 in emerging markets like Arizona to $25,000 in premium metropolitan areas like St. Louis. Successful wholesalers recognize that assignment fees depend on multiple factors beyond geography, including experience level, property type, deal complexity, and market conditions. By benchmarking their fees against industry standards and adapting their pricing strategies to local market dynamics, wholesalers can maximize their earning potential while providing value to both sellers and end buyers. Whether you’re a beginner closing your first few deals at $2,000-$5,000 per transaction or an experienced professional commanding $15,000-$40,000 fees, understanding these metrics empowers you to make informed decisions about market selection, deal evaluation, and fee negotiation strategies that drive long-term success in the wholesale real estate industry.
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