Wholesaling is, essentially, buying low and either selling higher or assigning the deal to someone for a mark-up.
For instance: You find a fixer upper in a neighborhood where houses typically sell for $300,000. The owner is willing to sell to you for $200,000 (why would they? Many reasons- they are under duress, or don't want to sit on the market for a year, or are in a hurry to move to Florida). Instead of buying the property yourself and making the reapirs, carrying the house, and sweating out selling and closing it 6 months later, you simply find another investor who is willing to pay $215,000 and you assign the deal to them. At closing, the seller gets 200k and you pocket the $15,000 difference without having to close on it yourself.
You just wholesaled a house.
Easier said than done, by the way - first, you have to find the deal and then you'll have to find the investor or your tail is hanging out the window for 200k.
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Wholesale Real Estate
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