Real Estate Wholesaling as a REALTOR® in the state of HAWAII

[Luan Becerra]

Aloha! 

My name is Luan Becerra and I am a new Real Estate Investor/Wholesaler in the process of obtaining my real estate license to become a REALTOR® here on the island of Kauai, in the state of Hawaii. I have done some research on the legalities of real estate wholesaling here in Hawaii, especially regarding to being a licensed agent, and have not come across any helpful information.

I am hoping someone can answer my question about weather wholesaling real estate in Hawaii is "legal". I started a very "legal" real estate company (All documents registered and up to date) here. There have been certain people who have mentioned my company as being in violation of RICO (look it up), and obviously don't want me doing business here in Hawaii as a wholesaler. This is primarily an issue at the moment because I don't have my RE license yet and Wholesaling isn't very popular here, so these people believe I need a license to wholesale, which obviously in 48+ other states in the country is just plain false. My belief is that these people are probably nosy/competitive agents, seeing as there aren't very many wholesalers here on Kauai, so the knowledge of this form of investing is almost unknown here, and thus has become an ethics and legal problem for me to face.

If there are any other wholesalers here in Hawaii, or attorneys/anybody familiar with Hawaii real estate laws and ethics, I would seriously appreciate your advice. I know for a fact that what I am doing is right, morally, ethically, and legally. When doing a deal with a buyer and seller I am always 100% upfront, disclosing everything, making sure that the deal is absolutely a win-win. I can totally understand why someone would be upset if I was willingly taking advantage of people and going behind their backs to make a profit, but when everything is honest, disclosed, and I am helping someone in dire need (motivated seller or distressed property for example) to sell their home fast for a profit, and helping an investor make some money, why shouldn't I be paid for my hard-work, time, and effort?

Again, experienced advisors welcome, I highly appreciate any input.

[Jeff Graves]

Michael, I think where people may think you are in violation, has nothing to do with the things you mentioned.  

Did you know you can't just start a real estate company by completing paperwork and passing the RE exam.  You need to have a broker's license in order to operate a real estate company, that's not just in Hawaii that's across the US. 

You'll need to have all the required CE courses completed and have at least 2 years full time RE experience, signed off by your previous broker.

Good luck and share the aloha.