House Flipping License

[David Hisaw]

Today I had an inspection on a house I am under contract on. When I got to the house the inspector was there already, had peeked around a bit and told me that he would feel guilty charging me for an inspection because the house clearly needed to be gutted and redone. Nothing I didn't already know but then it got interesting. He is also a contractor and flips houses himself. After letting me know about himself a little bit, he informed me that in the state of WASHINGTON you have to have a flipping license. With that, any house you flip you are on the hook for, for 7 years after you sell it. My question is this, who here in Washington has heard of this? Is he blowing smoke or is there something to it? I've never heard of such a thing, and neither had my contractor that met us at the house.