Real estate wholesaling is a popular investment strategy where investors find properties at a low price and sell them for a profit, usually without actually buying the property themselves.  

Choosing the right location for real estate wholesaling is crucial for maximizing profits and minimizing risks. A city with strong population growth, high market demand, and a robust job market can offer numerous opportunities for wholesalers.

In this blog, we’ll explore the best cities to wholesale real estate, focusing on key factors like population growth, market demand, jobs, cost of living, median home prices, and more.

Factors to Consider in Real Estate Wholesaling

Before diving into the best cities, it’s essential to understand the criteria used to evaluate these markets. The following factors are crucial when determining where to invest:

1. Population Growth: Cities with increasing population typically have higher demand for housing, making it easier to find buyers for wholesale deals.
2. Market Demand: High market demand ensures that properties can be flipped quickly and profitably.
3. Jobs: A strong job market supports a healthy economy, attracting more residents and increasing housing demand.
4. Cost of Living: Lower cost of living can attract new residents, making it easier to find buyers for properties.
5. Median Home Prices: Affordable home prices allow wholesalers to enter the market without significant capital investment.
6. Average Household Income: Higher household incomes increase the purchasing power of potential buyers.
7. Average Property Tax Rate: Lower property taxes are attractive to both investors and end buyers.
8. GDP Growth or GDP: A growing GDP reflects a robust economy, increasing the overall market potential for real estate.
   
   

Best Cities For Real Estate Wholesaling in USA

Based on the key factors mentioned above, the following are the best states to wholesale real estate :

1. Houston, Texas
2. Atlanta, Georgia
3. Cleveland, Ohio
4. Austin, Texas
5. Jacksonville, Florida
6. Cincinnati, Ohio
7. Indianapolis, Indiana
8. Memphis, Tennessee
9. Phoenix, Arizona
10. Detroit, Michigan

1. Houston, Texas

Houston is the largest city in Texas and one of the fastest-growing cities in the United States. It’s known for its diverse economy, which includes significant sectors like energy, healthcare, and technology. This diversity ensures a stable job market, which attracts new residents and fuels demand for housing.

Statistics and Ranking Factors

• Population Growth: Houston has a population growth rate of 2.2% from 2020 to 2023, reflecting its appeal to new residents.
• Market Demand: The demand for housing in Houston is strong, driven by the city’s economic growth and job opportunities.
• Jobs: The city’s GDP in 2023 was $550 billion, with a GDP growth rate of 2.8%, underscoring its economic strength.
• Cost of Living: Despite rapid growth, Houston remains relatively affordable, making it an attractive market for both buyers and investors.
• Median Home Prices: The median home price in Houston is $315,000, offering a balance between affordability and investment potential.
• Average Household Income: The average household income is $72,000, above the national average, which supports the housing market.
• Average Property Tax Rate: Houston’s property tax rate is competitive, providing a cost advantage for investors..
• GDP Growth: With a robust GDP growth rate of 2.8%, Houston continues to be a top market for real estate wholesaling.

2. Atlanta, Georgia

Atlanta, the capital of Georgia, is known for its diverse economy, which includes strong sectors like healthcare, technology, and finance. The city has been experiencing steady population growth, which contributes to the increasing demand for housing. Atlanta’s real estate market is thriving, making it an ideal location for wholesalers looking for profitable opportunities.

Statistics and Ranking Factors

• Population Growth: Atlanta’s population grew by 1.8% from 2020 to 2023, indicating a steadily increasing demand for housing.
• Market Demand: The city’s strong market demand is driven by its growing population and expanding job market.
• Jobs: Atlanta’s GDP in 2023 was $520 billion, with a growth rate of 2.5%, reflecting a healthy economy.
• Cost of Living: The cost of living in Atlanta is increasing but still remains below the national average, attracting more residents.
• Median Home Prices: Median home prices in Atlanta are $350,000, which, while increasing, still provides good opportunities for investment.
• Average Household Income: The average household income in Atlanta is $75,000, above the national average, supporting the real estate market.
• Average Property Tax Rate: Atlanta’s competitive property tax rate makes it a favorable market for investors.
• GDP Growth: The GDP growth rate of 2.5% underscores Atlanta’s economic vitality, making it a prime location for real estate wholesaling.

3. Cleveland, Ohio

Cleveland is often overlooked in the real estate investment world, but it offers substantial opportunities for wholesalers, particularly those looking for affordable entry points. The city has a diverse economy, with strong sectors in healthcare, manufacturing, and education. Despite a slight population decline, Cleveland’s real estate market remains attractive due to its low home prices and moderate demand.

Statistics and Ranking Factors

• Population Growth: Cleveland has experienced a -0.5% population decline from 2020 to 2023, but this hasn’t diminished its appeal for real estate investors.
• Market Demand: The market demand is moderate, offering opportunities for finding undervalued properties.
• Jobs: Cleveland’s GDP in 2023 was $140 billion, with a GDP growth rate of 1.5%, reflecting steady economic activity.
• Cost of Living: The cost of living in Cleveland is one of the most affordable in the U.S., making it attractive for buyers and investors.
• Median Home Prices: The median home price is $165,000, significantly lower than the national average, offering good profit margins for wholesalers.
• Average Household Income: The average household income in Cleveland is $61,000, which aligns with the city’s lower cost of living.
• Average Property Tax Rate: Cleveland’s competitive property tax rate adds to its appeal as a real estate market.
• GDP Growth: Cleveland’s GDP growth rate of 1.5% shows steady economic growth, making it a viable market for wholesalers.

4. Austin, Texas

Austin is one of the fastest-growing cities in the United States, known for its booming tech industry and vibrant cultural scene. The city has seen rapid population growth, which has driven up housing demand and made the real estate market highly competitive. For wholesalers, Austin presents significant opportunities, especially if they can navigate the higher home prices.

Statistics and Ranking Factors

• Population Growth: Austin’s population grew by 4.5% from 2020 to 2023, making it one of the fastest-growing cities in the U.S.
• Market Demand: The market demand in Austin is extremely strong, driven by the tech industry and job market growth.
• Jobs: Austin’s GDP in 2023 was $350 billion, with a GDP growth rate of 3.2%, underscoring its economic strength.
• Cost of Living: The cost of living in Austin has increased significantly, driven by the city’s rapid growth.
• Median Home Prices: The median home price in Austin is $500,000, significantly above the national average, reflecting the city’s strong market.
• Average Household Income: The average household income in Austin is $88,000, well above the national average, supporting the housing market.
• Average Property Tax Rate: Austin’s competitive property tax rate makes it attractive despite higher home prices..
• GDP Growth: With a GDP growth rate of 3.2%, Austin continues to be a top market for real estate wholesaling.

5. Jacksonville, Florida

Jacksonville offers a balanced market for real estate wholesalers, with steady population growth and a diverse economy that includes healthcare, retail, and tourism. The city’s affordable housing market and moderate demand make it an attractive option for investors looking for stable, long-term opportunities.

Statistics and Ranking Factors

• Population Growth: Jacksonville’s population grew by 1.5% from 2020 to 2023, indicating steady market demand.
• Market Demand: The market demand is moderate, supported by the city’s growing population and diverse economy.
• Jobs: Jacksonville’s GDP in 2023 was $170 billion, with a GDP growth rate of 2.0%, reflecting steady economic performance.
• Cost of Living: The cost of living in Jacksonville is relatively affordable, attracting new residents.
• Median Home Prices: The median home price is $300,000, offering good entry points for wholesalers.
• Average Household Income: The average household income in Jacksonville is $68,000, below the national average, but sufficient to support the housing market.
• Average Property Tax Rate: Jacksonville’s competitive property tax rate adds to its appeal for real estate investors.
• GDP Growth: Jacksonville’s GDP growth rate of 2.0% supports the city’s status as a stable market for real estate wholesaling.

6. Cincinnati, Ohio

Cincinnati offers a favorable market for real estate wholesalers, particularly those looking for affordable housing and moderate market demand. The city has a diverse economy, with strong sectors in healthcare, manufacturing, and finance, providing a stable job market and steady demand for housing.

Statistics and Ranking Factors

• Population Growth: Cincinnati has experienced a -0.2% population decline from 2020 to 2023, but it still offers solid opportunities for real estate investors.
• Market Demand: The market demand is moderate, offering wholesalers a chance to find and flip properties.
• Jobs: Cincinnati’s GDP in 2023 was $120 billion, with a GDP growth rate of 1.8%, indicating steady economic growth.
• Cost of Living: The cost of living in Cincinnati is relatively affordable, attracting potential buyers.
• Median Home Prices: The median home price in Cincinnati is $225,000, lower than the national average, providing good profit margins for wholesalers.
• Average Household Income: The average household income in Cincinnati is $64,000, which supports the housing market in line with the city’s lower cost of living.
• Average Property Tax Rate: Cincinnati’s competitive property tax rate makes it an attractive market for investors.
• GDP Growth: With a GDP growth rate of 1.8%, Cincinnati remains a solid market for real estate wholesaling.

7. Indianapolis, Indiana

Indianapolis is a growing city that offers excellent opportunities for real estate wholesalers. The city’s affordable housing market, coupled with steady population growth, makes it a prime location for investors. Indianapolis has a diverse economy, with significant employment in healthcare, manufacturing, and finance, supporting a stable housing market.

Statistics and Ranking Factors

• Population Growth: Indianapolis has seen a population growth of 0.8% from 2020 to 2023, supporting steady market demand.
• Market Demand: The market demand is moderate, offering wholesalers a balanced opportunity to find and flip properties.
• Jobs: Indianapolis’s GDP in 2023 was $100 billion, with a GDP growth rate of 2.2%, reflecting steady economic growth.
• Cost of Living: The cost of living in Indianapolis is relatively affordable, attracting potential buyers and renters.
• Median Home Prices: The median home price is $250,000, lower than the national average, making it easier for wholesalers to enter the market.
• Average Household Income: The average household income in Indianapolis is $67,000, which aligns with the city’s lower cost of living.
• Average Property Tax Rate: Indianapolis’s competitive property tax rate adds to its appeal for real estate investors.
• GDP Growth: With a GDP growth rate of 2.2%, Indianapolis offers a solid and stable market for real estate wholesaling.

8. Memphis, Tennessee

Memphis is an affordable market for real estate wholesalers, known for its low home prices and high demand for rental properties. The city has a strong economy, particularly in the logistics, healthcare, and manufacturing sectors, which supports steady job growth and a consistent demand for housing.

Statistics and Ranking Factors

• Population Growth: Memphis has seen a -0.4% population decline from 2020 to 2023, but it still offers strong opportunities for wholesalers.
• Market Demand: The market demand is moderate, driven by the city’s strong rental market and affordable housing prices.
• Jobs: Memphis’s GDP in 2023 was $90 billion, with a GDP growth rate of 1.7%, reflecting steady economic activity.
• Cost of Living: The cost of living in Memphis is relatively affordable, making it an attractive market for buyers.
• Median Home Prices: The median home price is $175,000, one of the lowest in the country, providing significant opportunities for wholesalers.
• Average Household Income: The average household income in Memphis is $58,000, below the national average but sufficient to support the housing market.
• Average Property Tax Rate: Memphis’s competitive property tax rate adds to its appeal for real estate investors.
• GDP Growth: With a GDP growth rate of 1.7%, Memphis remains a viable market for real estate wholesaling.

9. Phoenix, Arizona

Phoenix is one of the fastest-growing cities in the United States, known for its booming real estate market and strong economic growth. The city has seen rapid population growth, which has driven up housing demand and made the real estate market highly competitive. Phoenix’s diverse economy, including strong sectors in healthcare, technology, and manufacturing, provides a stable foundation for long-term growth.

Statistics and Ranking Factors

• Population Growth: Phoenix’s population grew by 3.1% from 2020 to 2023, making it one of the fastest-growing cities in the U.S.
• Market Demand: The market demand in Phoenix is strong, driven by the city’s growing population and job market.
• Jobs: Phoenix’s GDP in 2023 was $320 billion, with a GDP growth rate of 3.0%, reflecting a robust economy.
• Cost of Living: The cost of living in Phoenix is increasing, but it still remains below the national average.
• Median Home Prices: The median home price in Phoenix is $400,000, offering good opportunities for wholesalers to find and flip properties.
• Average Household Income: The average household income in Phoenix is $78,000, above the national average, supporting the housing market.
• Average Property Tax Rate: Phoenix’s property tax rate is lower than many other major cities, making it an attractive market for investors.
• GDP Growth: With a GDP growth rate of 3.0%, Phoenix continues to be a top market for real estate wholesaling.

10. Detroit, Michigan

Detroit is a city undergoing a significant transformation, making it an intriguing option for real estate wholesalers. Although Detroit has experienced a slow population decline, its economy is stabilizing, particularly in the automotive, healthcare, and education sectors. The city’s housing market remains one of the most affordable in the U.S., offering a low entry point for wholesalers looking for high potential returns.

Statistics and Ranking Factors

• Population Growth: Detroit has seen a -0.8% population decline from 2020 to 2023, but it still offers significant opportunities for real estate investors.
• Market Demand: The market demand is moderate, driven by the city’s affordability and potential for growth.
• Jobs: Detroit’s GDP in 2023 was $160 billion, with a GDP growth rate of 2.1%, reflecting steady economic activity.
• Cost of Living: The cost of living in Detroit is relatively affordable, making it an attractive market for buyers and investors.
• Median Home Prices: The median home price in Detroit is $150,000, one of the lowest in the U.S., providing significant opportunities for wholesalers.
• Average Household Income: The average household income in Detroit is $60,000, below the national average, which aligns with the city’s lower cost of living.
• Average Property Tax Rate: Detroit’s competitive property tax rate adds to its appeal as a real estate market.
• GDP Growth: With a GDP growth rate of 2.1%, Detroit offers a promising market for real estate wholesalers looking for long-term investment opportunities.

Conclusion

Choosing the right city is crucial for success in real estate wholesaling. The cities listed above represent some of the best markets for wholesalers, each offering a unique blend of economic growth, population trends, and real estate opportunities.

Considering factors such as population growth, market demand, job opportunities, and housing affordability, investors can identify the top cities with the most promising opportunities for profitable deals. 

Whether you’re a seasoned wholesaler or just starting, these cities offer the potential for significant returns on your investment.