Selecting the right city for wholesaling in 2025 requires careful consideration of several factors to set yourself up for success. The fluctuating rate environment we are currently in affects buyer affordability and investor demand. Additionally, a tightening housing inventory coupled with rising construction and labor costs challenge acquisition opportunities but create higher demand for off-market deals. Seasoned wholesalers have still been able to survive and thrive despite macroeconomic setbacks by focusing on what makes these deals work.
In this article, we’ll outline what makes a market good for wholesaling and why we’ve chosen these 5 cities as the best markets for wholesalers in 2025:
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Knoxville, TN
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Augusta, GA
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El Paso, TX
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Lexington, KY
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Grand Rapids, MI
Factors to Consider when Picking a Market to Wholesale In
Five key factors stand out as indicators of profitability when evaluating a market to wholesale in: population growth, property appreciation, affordability, low vacancy rates, and a strong economy. Understanding these elements can help wholesalers identify cities with strong potential for profitable deals. A growing population, for example, typically leads to increased housing demand and provides more opportunities for wholesalers to find motivated buyers. Similarly, markets with consistent property appreciation inspire confidence among investors and create an environment where wholesaling deals are more likely to succeed.
Affordability is another essential factor when selecting a wholesaling market. Markets with affordable entry points allow wholesalers to acquire properties at lower prices and reduce risks while maximizing potential returns. Comparing median home prices to national averages helps identify ideal markets that provide attractive opportunities for wholesalers without the burden of excessively high or low property costs. Furthermore, cities with low vacancy rates often indicate active, fast-moving real estate markets where homes are selling quickly, which make it easier for wholesalers to close deals and generate profits.
A strong economy is the foundation of a thriving real estate market. Economic stability, job growth, and a high standard of living contribute to the demand for housing and ensure wholesalers have a steady pool of potential buyers. When all these factors align, they create an ideal environment for real estate wholesalers to maximize their business potential in 2025.
Top 5 Cities for Real Estate Wholesalers in 2025
Number 1: Knoxville, Tennessee
Nestled in the foothills of the Smoky Mountains, Knoxville combines southern hospitality, a vibrant cultural scene, and breathtaking natural beauty. As the third-most populous city in Tennessee, Knoxville has seen steady population growth over the past two decades, supported by a balanced housing market and economic expansion. Ranked as one of the Top 10 Housing Hot Spots for 2025 by the National Association of Realtors (NAR), Knoxville continues to attract real estate investors with its affordability, economic growth, and rising housing demand.
With a median sale price of $320,000, Knoxville remains significantly more affordable than the national average of $406,100. This affordability makes it an attractive market for wholesalers and allow them to acquire properties at lower upfront costs. Additionally, Knoxville has experienced a 7.4% year-over-year increase in home prices. This indicates strong property appreciation that benefits wholesalers looking to flip properties or assign contracts for profit.
Knoxville is positioned to capitalize on Tennessee’s overall growth, with the state expected to add 600,000 new residents by 2030. As the city absorbs more people, housing demand will continue to rise and create ample opportunities for wholesalers. With a 5.9% vacancy rate in multifamily properties and rising rents, Knoxville also offers attractive options for wholesalers targeting rental property investments.
Number 2: Augusta, Georgia
Augusta is renowned for hosting the prestigious Masters Tournament, its rich historical sites, scenic Augusta Riverwalk, and thriving arts scene. As the second most populous city in Georgia, it has experienced a steady 2.82% population growth from 2020 to 2023. This population increase has created a thriving real estate market where wholesalers can find lucrative opportunities, especially with most recent data reflecting a median home price of $203,000, with an impressive 10.5% annual appreciation. This growth not only boosts property values but also provides wholesalers with a reliable and profitable market for transactions.
With home prices well below the national average, wholesalers have the advantage of better profit margins. This affordability, combined with Augusta’s low 4.7% unemployment rate and expanding job market, creates a healthy demand for homes, attracting both buyers and investors.
Augusta also stands out due to its relatively low market competitiveness, ranked 46/100 according to Redfin. Homes in the area are selling for approximately 3% below list price. This lower level of competition gives wholesalers a distinct advantage and enables them to strike profitable agreements even in a growing market. As property values continue to rise and demand strengthens, Augusta presents an ideal environment for wholesalers seeking opportunities this year.
Number 3: El Paso, Texas
El Paso is known for its rich cultural heritage, vibrant food scene, and strong military presence. Ranked as the fourth-best housing market of the year by Realtor.com, El Paso offers wholesalers a unique opportunity to secure off-market deals at lower acquisition costs. With a median home price of $254,974—nearly 49% below the national average—wholesalers can source properties at attractive prices to fix-and-flip investors or long-term rental buyers seeking profitable investments. Additionally, a 6.5% annual increase in property values and a 19.3% surge in existing home sales signal a healthy and active market.
Beyond affordability, El Paso’s low cost of living and stable population growth contribute to its appeal for real estate investors. The city’s population is projected to reach 678,760 by 2025, reinforcing long-term housing demand. Meanwhile, its 7.9% vacancy rate suggests that properties are being quickly absorbed, which is beneficial for wholesalers looking to move contracts efficiently. Investors seeking rental properties are also drawn to El Paso’s steady economic growth and increasing housing demand.
According to Redfin, El Paso’s moderate market competitiveness, with a score of 50/100, gives wholesalers leverage when negotiating deals. Homes in the city typically sell for 1.6% below list price, allowing investors to secure properties at a discount while maintaining room for profit margins. This slightly declining sale-to-list price ratio makes it easier for wholesalers to structure win-win deals. El Paso stands out as an excellent market for real estate wholesalers looking to maximize returns in 2025.
Number 4: Lexington, Kentucky
Lexington, known as the “Horse Capital of the World,” is rapidly emerging with significant development projects slated for the year, including major investments in advanced manufacturing. As an ideal location for wholesalers to capitalize on growth, the city is poised to attract even more buyers and investors in 2025.
The median sale price for single-family homes in Lexington as of January 2025 stands at $349,500, reflecting an 8.4% annual increase. While property values are on the rise, the median price still remains below the national average. The city’s moderately competitive market, with a competitiveness rating of 69/100, gives wholesalers the flexibility to negotiate favorable terms. Homes typically sell for 1.2% below list price, and 26.8% of properties see price reductions, creating ample room for wholesalers to secure deals.
Economic development is a major driver of Lexington’s real estate boom. With billion-dollar projects planned for 2025, particularly in the advanced manufacturing sector, the city is expected to see an influx of job opportunities, attracting more people to the area. This increase in job prospects is likely to boost demand for housing and create a thriving market for wholesalers.
In addition, Lexington boasts a low 7.0% vacancy rate with a 1.15% increase projected for 2024. For wholesalers, this growing buyer pool, combined with appreciating property values and strong economic momentum, makes Lexington a key market to target.
Number 5: Grand Rapids, Michigan
Grand Rapids is renowned for its thriving craft beer scene, rich history in furniture manufacturing, and vibrant art culture events. The median sale price of homes in the area is currently $290,000, reflecting a 9.5% year-over-year growth—yet it remains well below the national average, despite the area’s average annual salary of $74,000. This affordability, combined with a 12.5% annual increase in home sales and an average market time of just 10 days, demonstrates the strong demand and quick turnover in the city’s real estate market. Grand Rapids has also been recognized as one of the National Association of Realtors’ Top 10 Housing Hot Spots for 2025.
The city’s economy is diversifying rapidly, with plans to grow its tech sector from 6% to 10% in the coming decade, already creating over 4,300 jobs. This economic boom is further supported by the construction of the Amway Stadium, expected to generate $408 million in economic activity over the next 30 years. With a 6.1% population increase over the last decade and a younger demographic compared to other U.S. cities, Grand Rapids offers wholesalers access to a growing pool of potential buyers.
Additionally, the city’s vacancy rate of 6.1% signals sustained housing demand. Regulatory conditions in Michigan are favorable for wholesalers, as the state permits the assignment of purchase contracts without requiring a real estate license, as long as wholesalers adhere to legal guidelines.
Important Considerations
As you explore wholesaling in 2025’s most promising cities, it’s essential to remember that success goes beyond finding the right properties.
Local market expertise is crucial for spotting undervalued properties and understanding what buyers want. Familiarity with neighborhood dynamics, upcoming developments, and regional growth trends can help wholesalers identify the best opportunities and maximize their profits.
Equally important is securing the right financing. Easy Street Capital offers fast, reliable funding tailored for wholesalers. With our EasyFix and EasyBuild programs, we provide flexible, pre-approved term sheets that allow you to close deals quickly and confidently. With Easy Street Capital, you get the funding support you need to succeed.
Ready to Get Started?
Looking to close deals faster and maximize your wholesaling opportunities in 2025? Easy Street Capital is your go-to lending partner! We offer same-day term sheets, 48-hour closings, and pre-approved financing to help you move properties quickly. With our reliable funding, surety of close, and exclusive lead-sharing opportunities, you’ll have the competitive edge to scale your business and secure more contracts with confidence. Don’t let slow financing kill your deals—partner with Easy Street Capital and turn opportunities into profits today!
Learn More About How Easy Street Is the Top Lender For Wholesalers
Disclaimer: The information provided in this article is not intended as financial or legal advice of any kind. Regulations regarding short-term rentals are subject to change and all investments are subject to risk. Information included in this article may contain information that has not been verified by licensed attorneys and should be subject to independent verification. Readers are advised to consult with qualified legal or financial professionals prior to investing in real estate investment properties.
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