Check Your State's
Wholesaling Law

Statute & Effective Date

SB 155 / ORC §5301.95 — Effective March 2, 2026

Ohio's newest wholesaling law, just went into effect. This is the most specific statutory framework of any state.

Disclosure Requirements

• Required: Written disclosure to property owner BEFORE contract execution
• Must Include: Wholesaler status acknowledgment, advice to seek legal counsel, notice that wholesaler does not represent owner
• Format: Specific statutory language, bold 12-point font minimum, separate document
• Below-market warning: Must inform seller that offer may be below fair market value

Assignment & Licensing

• ✓ Can assign contracts without owner consent before closing
• ✓ Can charge assignment fee separately from profit
• ✗ No real estate license required for wholesaling

Legal Basis

Georgia Fair Business Practices Act + Common Law / GREC Advertising Rules 520-1.09

Least regulated of all 8 states. Common law disclosure duties apply.

Disclosure Requirements

• Required: Disclose intent to assign or sell contract at higher price
• Required: Disclose assignment fee to all parties if assignment is used
• Double Close Exception: No profit disclosure required if using double close
• Format: No specific form required, but must be clear and transparent

Licensing & Marketing

• ✗ No license required for contract assignment
• ⚠️ Marketing restriction: GREC Rule 520-1.09 restricts advertising by unlicensed wholesalers
• Can only market that you have rights to assign property under contract
• Cannot market property itself unless licensed

Legal Basis

Chapter 475 / Florida Statute 475.41

Legal to wholesale, but strictest marketing rules in America.

Marketing Rules (CRITICAL)

• ✗ CANNOT market the property itself — only contract rights
• ✓ CAN market the contract assignment and fee
• Violation = potential criminal prosecution
• Only licensed realtors can market real property (FL Statute 475.41)

Disclosure Requirements

• Required: Must be clear about contract assignment in all materials
• Required: Valid purchase agreement must exist before marketing
• Key Rule: Do NOT market acquisition price ($120K) at end-buyer price ($150K+)
• Instead: Market the assignment fee or contract markup separately

Statute & Recent Changes

Texas Occupations Code §1101.0045 / TAC Rule 535.6 / Texas Property Code

Effective January 1, 2024 — NEW notice requirement added

Disclosure Requirements (as of Jan 1, 2024)

• Required: Written disclosure of "equitable interest"
• Must Disclose To: Original property owner AND buyer-assignee (end buyer)
• When: Before entering assignment agreement
• Format: Written form required (TAC Rule 535.6 compliance)

Equitable Interest Defined

Legal right to eventually acquire legal title to property. Created when buyer and seller execute real estate contract. Assignable unless contract prohibits.

Assignment & Licensing

• ✓ Can assign earnest money contracts (default rule)
• ✓ Can use "and/or assigns" language in contract
• ✓ Assignments can occur with or without seller consent
• ✗ No license required for assignment (distinction from brokerage)
• Key: Full disclosure = not brokerage; No disclosure + acting like broker = illegal brokerage

Legal Basis

Indiana Real Estate Laws (common law basis, no specific statute number)

Less regulated than Ohio/Florida/Illinois. Common law disclosure duties apply.

Disclosure Requirements

• Required: Transparency about intent to assign
• Required: Intent must be clearly stated in contract
• Format: No specific statutory form, but must be unambiguous
• Court guidance: Cannot imply you'll close when you plan to assign

Marketing & Licensing

• ✗ Can only market contract rights, NOT the property
• ✗ No license required for single transactions or occasional wholesaling
• ⚠️ Limit: If pattern of "practicing real estate" (multiple deals), license may be required
• Indiana courts: Do not support "secret profits"

Legal Basis

Illinois Real Estate License Act (RELA), amended 2019

Only state with specific transaction count threshold.

Licensing Requirement (CRITICAL)

• ✓ 1 wholesale transaction/year = OK without license
• ✗ 2+ transactions in 12 months = MUST BE LICENSED
• Definition: "Dealing in real estate contracts" includes assignable contracts
• Applies to pattern of dealing, not one-time transactions

Disclosure Requirements

• Required: Full transparency to seller and buyer
• Required: Clear disclosure of wholesaler role and intent to profit
• Required: Cannot act as dual agent without consent
• Cannot market property itself (only contract/equitable interest)

Statute & Effective Date

SB 1075 / 59 O.S. §858.102 and §858.314

Effective November 1, 2025 — Oklahoma now has the most restrictive wholesaling law in America.

Disclosure Requirements (MANDATORY)

Before Contract Execution, Must Include In Writing:

• Intent to assign or sell property at higher price
• Recommendation to seek legal advice before signing
• Homeowner's statutory right to cancel within 2 business days without penalty
• Plain English language (statute specifies)
• Clear identification of wholesaler

Cancellation Rights (Seller Protection)

• ✓ Homeowner has statutory 2 business day cancellation right (NEW)
• ✓ Can cancel for ANY reason during 2-day period, no penalty
• ✓ Can cancel ANYTIME if required disclosures are missing
• Earnest money must be returned to seller

Earnest Money Rules

• Must be held in ESCROW ACCOUNT (not wholesaler account)
• If disclosures missing: Seller keeps all earnest money

Statute

HB 2747 / Arizona Revised Statutes §44-5101

Balanced approach with disclosure duties for both buyers and sellers.

Disclosure Requirements

Wholesale Seller Must Disclose To Buyer (Before Close of Escrow):

• Written disclosure that seller is a wholesale seller
• Seller holds only equitable interest (not legal title)
• Seller may not be able to convey title to property

Wholesale Buyer Must Disclose To Seller:

• Written disclosure that buyer is a wholesale buyer
• Must be before parties enter binding contract

Marketing Rule

• Must disclose in ALL marketing materials that equitable interest only
• Cannot represent ownership of property
• Cannot misrepresent title status

Cancellation Rights (Buyer Protection)

• If wholesale seller fails to disclose: Buyer can cancel anytime before close of escrow
• Buyer receives refund of all earnest money
• No penalty to buyer