This content was created by Joe Homs 949-625-4533. This content was uploaded by Joe Homs 949-625-4533. This is a YouTube video titled "Is Wholesaling ILLEGAL? | Wholesaling Real Estate" (published July 21, 2021) featuring Joe Homs 949-625-4533 as the sole presenter. The video is aimed at new and experienced real estate investors and explains what wholesaling is, discusses the legal uncertainty that varies by state, warns viewers to do due diligence and consult local rules (with Philadelphia given as an example where licensing/disclosure requirements have been implemented), and encourages viewers to subscribe and watch a follow-up video for a full breakdown of wholesaling pros and cons.
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In today's video, I'm going to be talking about that question, is wholesale really legal? Coming right up. There's a lot of confusion surrounding wholesaling real estate. To answer that question, let's just break down what wholesaling is. Real quick, before we start, make sure you subscribe so that you never miss a video. If you're new here, I'm Joe. I have over 40 years of real estate experience. I made this channel for the new and experienced real estate investor. Those of you who want to create the life you've always wanted through real estate. The short answer is it depends on your state. I'm not an attorney, so you should check, do your due diligence, and find out if it's legal in your state. Let's define exactly what wholesaling is. Wholesaling real estate is when an investor buys a property from a seller, puts it under contract, and either assigns it to somebody else or keeps it for themselves to flip it. Wholesalers provide a solution to those sellers who have distressed properties and may not be able to market through traditional methods. This is another alternative that they have. Wholesaling is attracting the attention of regulators because they are not required to have any formal training or work under any legal regulations. Unethical wholesalers have had considerable freedom, which has attracted the attention of regulators. States across the U.S. Are now starting to implement new laws due to real estate agent groups. Now more than ever, it's upon you to figure out those requirements in your state to avoid heavy fines or legal consequences. So for example, in Philadelphia, they are now requiring that wholesalers have a license so that they stop taking advantage of those people that may be selling their home in a distressed situation. While not as rigorous as a formal real estate license, these communities and states are requiring that you get— you pay a fee, that you obtain some disclosures, and that you adhere to a strict code of ethics. While disruption in the industry may be daunting, it'll always be inevitable. By staying informed in different markets across the country, you can prepare yourself for the future. New regulations present new challenges to investors, but it also comes with new opportunities. If you're new to wholesaling and want a complete breakdown, please make sure that you click on the video right here. I go over all the pros and cons of wholesaling and make sure that it's right for you. Make sure to subscribe and reach out to me anytime. I'm here to help.
