Updated over 11 years ago on . Most recent reply
Being a licensed wholesaler?!?!
I'm getting ready to start wholesaling, but I've also had this urge to obtain my real estate license. Are there any restrictions that a real estate agent has to obide by or can a licensed agent be involved in wholesaling? And by, being involved, I mean locating deals, writing up contracts, and sellign them to investors?
Thanks!
Most Popular Reply
Not sure about the laws in your state, but accepting a net listing is illegal in many states. That means if you get a property for say 60K and then agree to collect anything over that you have violated licensing laws. If you get licensed first and foremost you have to disclose your status. Then in order to properly wholesale all parties involved must know and you should act as the principal in the contract. Essentially you would tell the seller, I am going to purchase your property for 60K and I will sell it for 70K. Your buyer would also have to be aware of this as well. In the contract your fee would be the 10K not just a blank figure.