Listing and/or wholesaling a property, legality

[Amy Butcher]

I have recently started a wholesaling business. I have run into sellers that want to try listing a property before they decide to sell it to a wholesaler. I'm wondering if there is anything unethical or illegal about offering a seller a choice of either (a.) wholesaling their property to me or (b) listing it on MLS with me. I am a licensed real estate agent but mosty just use my license for my own investing purposes.

[Bryan Hedges]

I am not sure about legality in AZ, but I can say that it probably does not pass the smell test from an ethical standpoint.  1.) You are not an "active" agent so their chances of you getting them a great offer is less and  2.) You will benefit by them not selling the home and instead letting you wholesale it.  You would have a vested interest in not doing your job well as a realtor.  I would suggest that the correct thing to do would be to refer them to an active agent.  Since you are licensed you would be eligible to receive a  referral fee from that agent if they sell it.  If they don't, they come back to you to wholesale.  It is still a win/win for you but you avoid the appearance of wrong doing.  Just my 2 cents.  Good luck with your new venture!