Broker License VS Realtor License

[Shaun Dewitt]

Hey all, in researching wholesaling and general RE investing I've been seeing a common pattern that I would like to some clarification on. Would it be correct to say that a RE license can get wholesalers into trouble while a brokers license can keep wholesalers out of trouble? Since having an RE license gives said agents a fiduciary responsibility toward the homeowner/seller, they can't in good ethical conduct commit "equity stripping" in order to get the home under contract at a price far below the market value. BUT in putting deals together some say that wholesalers, if not careful, can slip into brokering their homes and therefore a brokers license can keep them safe. It also seems that there are some gray areas more in the brokerage issue than the RE license issue, essentially being a universal statement from investors across the board. Thanks for any and all input!

Shaun