This isn't a typical wholesale deal and I don't know all the rules and regulations when it comes to auctions.

Make sure you follow your state regulations regarding foreclosure rescue(s).

I can tell you bank regulators don't like seeing insured banks walking away from principal as a usual course of doing business.Can reductions be justified, yes, but rarely.

And while I truly believe real estate investing is the most rewarding and lucrative path, I'm also not so naive to think that it couldn't turn into a bone yard with over regulation or whatever, leaving one with only those options developed early in life to continue on.

I was wondering what laws/regulations are in place for wholesaling in california.

The banks are audited and regulated on the state and federal level depending on how their charters are set up.They have to show the loans are underwritten with extreme controls incase of a default so they don't lose their jobs or worse face indictments for mismanagement of a bank.Some Canadians choose state here where TD bank branches are located.

The degree of difficulty is very similar to a real estate license for agents, but doesn't cover RE aspects in detail.What you get will be the regulations pertaining to residential loans, Reg Z, TILA, RESPA and disclosure requirements.

Any implication or threat of ED to a land owner is regulated at the state level and often federally if that entity is tied to federal funds toward any project.

I would know that they (hopefully) understand all the rules and regulations and would have more confidence that were not going to involve me in something shady by accident (or design!)

i guess the pros is you have access to the MLS and pretty much can pull comps by yourself. the cons would be you have a lot more on code of ethic, regulation, and law to comply vs. no license