$20k in repairs leading to $60k more in total sale

[Jeffrey Grieshop]

I came across the term wholesaling and had to google it. I came upon this passage in an example: The wholesaler has a house under contract for $90,000 that he estimates needs $20,000 in repairs but will sell for $150,000 once the repairs are made. Using his network of investors, he finds an eager buyer at $100,000. He assigns the contract to this investor, who then has a profitable fixer-upper project. The wholesaler makes a $10,000 profit without ever owning the home.

I semi get the wholesale deal. What I was surprised about in the hypothetical is that $20k in repairs was projected to get $60k more in total sale price, essentially, right?

The wholesaler buys for $90k and says with $20k in repairs it will sell for $150k, his assessment. First, please correct me if I am not looking at it quite right. Secondly, and why I made the post, does $20k in repairs ever lead to a sales increase of $60k? That seems really strange to me.