Nebraska Outlaws Unlicensed Wholesaling

[Owen Dashner]

A new statute called LB892 was recently passed in the state of Nebraska that will make wholesaling much more difficult. LB892 would require an investor who is selling equitable interest in a property to be a licensed real estate agent, or utilize a licensed agent to market the property.  This includes both assignments of contract, as well as double closings. 

If the real estate commission determines guilt, the commission can impose a fine not to exceed (a) $1000 per day that the individual is not in compliance with the statute, or (b) the amount of money earned by the person in violation, whichever is greater.  This is the citation: https://nebraskalegislature.go...

I have heard that the statute will take effect in July 2022 (although I have not heard an exact date confirmation).  Lots of discourse on both sides of the fence here.

This guy has an informative Youtube channel that does a good job giving an overview: 

I would like to hear from investors in other states where similar statutes have been put in place.  How did the real estate investing dynamics change?  Were wholesalers still trying to "game the system" and do unlicensed wholesaling under the radar, or via loopholes somehow? Did most wholesalers just end up getting licensed?  Leave the business entirely?  Use hard money and take down deals themselves?

I admit that I have mixed feelings about this - I have never wholesaled a deal, but regularly buy assigned contracts from wholesalers...