The Secret Sources Wholesalers Use for High-Margin Flip Deals
In this article, we’re going to pull back the curtain on where wholesalers actually get their best leads, and how you, as a flipper, can outsmart and outmaneuver them to source those deals yourself.
If you're actively flipping houses or thinking about getting into the game, you've probably found yourself wondering:
“Where do wholesalers keep finding these killer off-market deals?”
Wholesalers seem to have a knack for uncovering distressed properties and motivated sellers before anyone else. But here's the thing: it’s not magic. It's a combination of systems, data, hustle, and psychology.
In this article, we’re going to pull back the curtain on where wholesalers actually get their best leads, and how you, as a flipper, can outsmart and outmaneuver them to source those deals yourself.
Why It Pays to Think Like a Wholesaler
Before we dive into the lead sources, let’s get one thing straight:
Wholesalers are flippers without the rehab.
They specialize in finding the deal, not fixing it. Their skill is marketing and negotiation, not construction and project management.
If you want to consistently find profitable flips, you need to borrow their mindset. That means becoming obsessive about:
Data
Outreach
Follow-up
Speed
Because wholesalers are beating flippers to the deal before it ever hits the MLS, or even a “For Sale” sign.
Top Lead Sources Wholesalers Use (And How to Compete)
Let’s break down the primary channels wholesalers use to find flip-worthy properties, and how you can intercept, or even outdo, them.
1. Driving for Dollars
This is the old-school, boots-on-the-ground strategy that still works incredibly well. Wholesalers drive through neighborhoods looking for signs of distress:
Peeling paint or boarded-up windows
Overgrown grass or junk-filled yards
Piled-up mail or code enforcement stickers
Faded or leaning “For Rent” signs
Once they spot a distressed home, they jot down the address, skip trace the owner, and start the outreach process.
How to Beat Them:
Use Google Street View and county property records to do virtual driving for dollars at scale
Combine this with USPS change of address data or mail bounce-backs to verify absentee ownership
Get creative: look at dumpster rental activity or permits for “stop work” notices to identify stalled projects
2. Absentee Owner Lists
Absentee owners are people who own property but don’t live in it. These are usually landlords, and when a landlord is tired, overleveraged, or burned out, they’re prime to sell.
Wholesalers use tools like PropStream, ListSource, or county assessor data to pull absentee owner lists, especially those who:
Live out of state
Have owned the property for 10+ years
Have multiple properties
Have code violations or eviction filings
How to Beat Them:
Focus on hyper-local absentee owners who own only 1–2 properties, they’re more likely to sell without a bidding war
Filter absentee lists by ZIP code + equity + age of property = motivated, hidden gems
Use AI voice drops or ringless voicemail to reach them faster than a wholesaler sending mail
3. Code Violations & City Nuisance Lists
Every city keeps a record of properties cited for issues like:
Unmowed lawns
Unsafe structures
Unpermitted work
Trash and debris
Squatters or unsafe living conditions
Wholesalers use these public records to create laser-targeted lists of people under pressure, usually from the city itself.
How to Beat Them:
Request these lists monthly or quarterly from the local Code Enforcement or Public Works department
Sort the list by number of violations or repeat offenders to prioritize urgent sellers
Follow up quickly. Most people wait until the fine hits. You want to offer relief before that
4. Probate and Inherited Property
Inherited homes are often in disrepair, mortgage-free, and owned by multiple family members who don’t want to deal with the hassle. That’s why wholesalers love them.
They get these leads by:
Pulling probate records from court filings
Using paid lead providers like ForeclosuresDaily or AllTheLeads
Networking with probate attorneys and estate planners
How to Beat Them:
Build a probate agent referral network. They’re often the first to know when someone wants a fast cash offer
Use compassion in your messaging: heirs are grieving, not just “motivated sellers”
Focus on timing: many wait 2–3 months after the filing to contact. You can reach out at the 30-day mark with a helpful tone
5. Tired Landlords
Post-2020, landlord fatigue is real. Between eviction moratoriums, rising costs, and difficult tenants, many landlords are ready to offload.
Wholesalers use:
Eviction court records
Rental property registry data
Expired rental listings on Zillow or Craigslist
Direct mail to aging property owners (50+ years old)
How to Beat Them:
Use Facebook and LinkedIn groups for landlords to start conversations
Offer creative financing or tenant-occupied sales to make it frictionless
Create a short “Is it time to sell?” guide for landlords and run it as a lead magnet ad
6. Facebook Groups & Marketplace
Many wholesalers are mining Facebook for leads, specifically:
Investor groups (where landlords vent)
Marketplace listings from FSBOs
Garage sales as a signal of moving
People asking for contractor recommendations (implies rehab)
How to Beat Them:
Set up saved searches with keywords like “motivated seller,” “needs work,” or “must sell”
Send personal DMs, not copy-paste pitches
Post your own “Looking for a flip” ad with clear criteria and referral bonus offers
7. Niche Lead Sources Wholesalers Love
Some of the most overlooked, but valuable, lead sources wholesalers rely on:
Tax lien lists
Water shutoff records
Divorce filings
HOA delinquency notices
Fire-damaged property reports
Bankruptcy filings
These are all signs of distress, pressure, or urgency.
How to Beat Them:
Build relationships with clerks, inspectors, or title reps who can give you early tips
Use paid tools like Reonomy or PropertyRadar to monitor owner data in real time
Target sellers with combo pain: e.g. probate + code violation = high chance of action
Why You Can Win (Even If You’re Not a Full-Time Wholesaler)
Here’s the good news:
Most wholesalers stop at the lead. They don’t have the capital, experience, or risk appetite to do the deal themselves. You do.
So once you know where they’re fishing for leads, you can:
Beat them to it
Partner with them (if you're too late)
Out-offer them with confidence
Use insider tools they overlook (like MLS agent relationships or buyer data)
Tips to Systematize Your Lead Hunting Like a Wholesaler
If you want to match their volume without losing your sanity:
Use a VA to build your lists weekly or bi-weekly
Batch outreach with tools like BatchLeads or LaunchControl
Score each lead based on pain level (e.g. 3+ flags = call today)
Keep a CRM of all sellers contacted, even if they say “not yet”
Bonus: What Wholesalers Fear Most
If you're competing against wholesalers, you should know what they hate:
Experienced buyers who move fast
Sellers who are already getting multiple offers
Realtors who educate their clients on value
Anyone who shows up with funding and a clear offer
You can be all four.
Final Thoughts
Wholesalers dominate many markets because they’ve mastered one thing: finding off-market deals.
But their systems aren’t exclusive. You can use the same lead sources, and often with better follow-through and higher credibility, to beat them at their own game.
If you’re serious about flipping, start thinking like a wholesaler. But execute like an operator.
That’s how you win.
Written By:

Austin Beveridge
Chief Operating Officer
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