Wholesaling

[Calvin Cary]

Do I need a license to do wholesale real estate???

[Tom Krol]

Originally posted by @Calvin Cary:

Do I need a license to do wholesale real estate???

 Calvin,

Go to a Real Estate Attorney to answer this question. I would recommend that the Attorney must be:

• In the state where you are planning on Wholesaling.
• A litigating attorney.
• Experienced with the agent’s/broker’s regulatory board for your state.
• Familiar with Wholesaling, if you are explaining it to them, they are the wrong attorney.
• If they are also a licensed broker, that is helpful but not mandatory.

You will spend $125 to $1,000 for their advice and it will be the best money you’ve ever spent.

Emotions and conjecture on the topic of wholesaling vary widely. There are many opinions, rumors and recommendations but if you want to get straight to the right answer find an Attorney. Whenever anyone is giving you legal advice always interrupt them and ask them if they are an Attorney first, this will save you time, your number one resource.

You can find a great Attorney referral from your local REIA, but remember that whoever recommends them will also want to give you legal advice, just say thank you and call the attorney directly anyway.

You will want clarity on all of the risks, how to market a Purchase Agreement (not the house), assigning (on and off the HUD) vs double closing, intent, disclosures and equitable interest. Also, no matter what any "Guru" tells you about how great their contracts are, have your attorney review them!

As a side note I always recommend getting a license. I am NOT an Attorney but this solves almost every issue with wholesaling real estate and is very easy to do.