The real estate market moves through predictable real estate market cycles, and for wholesalers, understanding these shifts can mean the difference between success and missed opportunities. Some months, properties sell within days, while at other times, sellers struggle to find buyers. If you know how the market works, you can adjust your strategies, close more deals, and increase your profits.
Without a system to track leads, follow up with sellers, and manage deals, wholesalers risk losing valuable opportunities. This is why top investors rely on Podio CRM to keep their business organized and running smoothly. At REI Podio CRMs, we provide customized CRM solutions that help real estate wholesalers scale their business efficiently.
In this guide, we will break down the four real estate market cycles and explain how wholesalers can adapt to each phase. Whether the market is booming or slowing down, having a strong strategy and the right tools, such as Podio for Real Estate, will keep your business thriving.
What Are Real Estate Market Cycles and Why Do They Matter?
The real estate market does not move in a straight line. Instead, it follows a four-phase cycle, each with distinct characteristics and opportunities for wholesalers:
- Recovery Phase – The market starts bouncing back after a downturn.
- Expansion Phase – Prices rise as demand increases.
- Hyper Supply Phase – The market slows as more properties become available.
- Recession Phase – Prices drop, and real estate activity declines.
Wholesalers who understand these cycles can identify trends early, adjust pricing strategies, and secure better deals. Using Podio CRM for Real Estate, wholesalers can track shifts in the market, monitor lead responses, and keep detailed records of property trends.
Now, let’s break down each phase in detail and explore the best strategies for wholesalers at every stage.
Recovery Phase – The Market Starts Bouncing Back
What Happens During the Recovery Phase?
The recovery phase begins after a period of economic slowdown or recession. Property values are still relatively low, but demand starts to pick up. Foreclosures decrease, home sales increase, and confidence slowly returns to the market. Investors and homebuyers begin looking for good deals, signaling that the market is on the upswing.
How Wholesalers Can Succeed in the Recovery Phase
During this phase, wholesalers should focus on:
- Finding off-market deals before competition increases. Since many sellers are still hesitant, direct marketing campaigns can yield great results.
- Targeting motivated sellers, such as tired landlords or homeowners behind on payments. They may be more open to selling at a discount.
- Working with fix-and-flip investors who want to acquire properties before the market becomes too competitive.
Podio CRM for Real Estate is an essential tool during this phase. It helps wholesalers track distressed properties, manage seller leads, and automate follow-ups to ensure no opportunities are missed.
Expansion Phase – The Market Gains Momentum
What Happens During the Expansion Phase?
During the expansion phase, home prices rise steadily, and demand surges. Housing inventory becomes limited, and competition among buyers intensifies. Many new investors enter the market, making it one of the most lucrative times for real estate professionals.
How Wholesalers Can Succeed in the Expansion Phase
To stay ahead during an expansion, wholesalers should:
- Move quickly on deals. With buyers eager to purchase, good properties do not stay available for long.
- Increase assignment fees. Investors are willing to pay more as property values rise.
- Focus on high-demand locations. Investing in growing neighborhoods ensures strong buyer interest.
Wholesalers should be careful not to overpay during this phase. A CRM for Real Estate Wholesalers, such as REI Podio CRMs, helps track deal history and property values to avoid unnecessary risks.
Hyper Supply Phase – The Market Starts to Slow Down
What Happens During the Hyper Supply Phase?
In the hyper supply phase, there are more homes for sale than buyers willing to purchase. This oversupply causes prices to stagnate or even decline. Sellers who were once firm on their pricing begin to reduce their expectations. Investors become more cautious, and the market starts to slow.
How Wholesalers Can Succeed in the Hyper Supply Phase
This phase requires wholesalers to adjust their approach. The best strategies include:
- Negotiating harder with sellers. As properties sit on the market longer, sellers become more flexible.
- Focusing on distressed properties. Many landlords and homeowners may want to sell before the market declines further.
- Strengthening buyer relationships. As competition among wholesalers decreases, having strong investor connections ensures steady deal flow.
Using Podio for Real Estate, wholesalers can track properties that have been on the market for extended periods. A customized CRM also helps automate follow-ups, ensuring that wholesalers reach out to sellers at the right time.
Recession Phase – The Market Declines
What Happens During the Recession Phase?
During a recession, property values decline, and financing becomes more difficult to obtain. Buyer demand decreases, and real estate activity slows significantly. However, for wholesalers who understand the market, this phase presents unique opportunities.
How Wholesalers Can Succeed in the Recession Phase
Even during a market downturn, wholesalers can continue closing deals by:
- Finding deeply discounted properties. Sellers facing financial difficulties may be willing to sell at lower prices.
- Working with buy-and-hold investors. Many investors purchase properties during a downturn to take advantage of lower prices.
- Exploring creative financing options. Seller financing and lease options can help move properties when traditional financing is limited.
Wholesalers who use Podio CRM for Real Estate can stay organized and track distressed properties efficiently. REI Podio CRMs offers customized CRM solutions to manage leads, automate communication, and close deals faster.
Why Every Wholesaler Needs Podio CRM for Real Estate
A successful wholesaler does not rely on guesswork. Instead, they use data-driven decision-making to track leads, follow up with sellers, and close deals efficiently. This is where Podio CRM for Real Estate comes in.
At REI Podio CRMs, we offer the best CRM for real estate wholesalers and investors with features that help:
- Automate seller lead management and follow-ups.
- Organize and filter buyer lists to close deals faster.
- Track market trends and deal history to make informed decisions.
Instead of using spreadsheets and disorganized notes, wholesalers who use REI Podio CRMs can streamline their workflow and scale their business effectively.
How to Stay Profitable in Real Estate Market Cycles
Regardless of where the market stands, wholesalers who adjust their strategies and use the right tools can continue closing deals. Here are the key takeaways:
- Understand market cycles and adjust your approach accordingly.
- Use Podio CRM for Real Estate to track leads and automate workflows.
- Target motivated sellers in slow markets and act quickly in fast ones.
- Build strong investor relationships to ensure consistent deal flow.
- Keep marketing and following up to maintain a steady pipeline.
If you want to take your wholesaling business to the next level, visit REI Podio CRMs today. Our customized CRM solutions will help you stay organized, close more deals, and grow your business—no matter what the market is doing.
Stay Ahead of Real Estate Market Cycles with the Right Strategies and Tools
Real estate market cycles are inevitable, but wholesalers who understand these phases can stay ahead of the competition. Whether the market is booming or slowing down, adjusting your strategy and using the right tools will ensure continued success.
By recognizing market trends, negotiating effectively, and maintaining strong buyer and seller relationships, wholesalers can keep closing deals in any economic condition. However, success in real estate wholesaling is not just about knowing the market—it’s about staying organized and efficient.
This is where Podio CRM for Real Estate becomes a game-changer. With REI Podio CRMs, wholesalers can:
- Track and manage seller leads effortlessly.
- Automate follow-ups to close deals faster.
- Organize buyer lists for smooth transactions.
- Monitor market trends and adjust strategies in real time.
If you are serious about growing your wholesaling business and staying ahead of market changes, now is the time to invest in a powerful CRM solution. Visit REI Podio CRMs today and see how customized CRM for real estate wholesalers can help you streamline your business, close more deals, and maximize profits—no matter what phase the market is in.
