Real Estate Wholesaling Laws by State (2026): All 50 States

By the CashBuyerRated Editorial Team · Updated September 2026 · 32 sources

Short answer

Wholesaling is legal in most states, but 23 states and Philadelphia now have laws aimed at it, and North Carolina's regulator has issued guidance. Common rules include a real estate license or registration, written disclosure that the buyer may assign the contract, and a seller's right to cancel, from 2 business days in Oklahoma to 30 days in Pennsylvania.

“Wholesaling” means putting a home under contract and then selling or assigning the contract to another buyer for a fee, without buying the home. Most of these laws passed in 2024–2026, so check the source for your state before relying on this page.

States with wholesaling laws (23 + Philadelphia)

State	Law	Effective	What it requires
Alabama	Ala. Code §§ 8-42-1 to 8-42-3^[14]	August 1, 2023	Disclose the buyer's limited interest and intent to market it; tell the seller about an assignment at least 3 business days before it takes effect.
Arizona	A.R.S. § 44-5101^[15]	In effect	A wholesale buyer must tell the seller in writing that they are a wholesale buyer; if they don't, the seller may cancel before closing and keep the earnest money.
Connecticut	Public Act 25-168 (Gen. Stat. §§ 20-329aaa and following)^[10]	July 1, 2026	Registration with the Department of Consumer Protection; seller gets 3 business days to cancel; closing generally within 90 days; written notices before assigning.
Delaware	Senate Bill 201 (85 Del. Laws ch. 274)^[16]	Signed June 1, 2026; seller cancellation right Aug. 30, 2026; license requirement Feb. 26, 2027	Disclosures and a seller cancellation right; wholesaling as a business will require a real estate license.
Illinois	Real Estate License Act, 225 ILCS 454/1-10^[1]	In effect	A real estate license for dealing in contracts, including assignable contracts, 2 or more times in 12 months.
Indiana	HEA 1068 (IC 32-21-16.5)^[29]^[30]^[31]	Agreements made after June 30, 2024	Unlicensed buyers soliciting single-family homes must disclose that they aren't licensed and name the person expected to buy; if the disclosure is missing, the homeowner may cancel in writing within 2 days.
Iowa	Iowa Code § 543B.6A; Commission rules ch. 22^[22]^[8]	July 1, 2024 (rules June 18, 2025)	Licensed broker or broker representation; written disclosures before contracting; cancellation right if disclosures are missing; penalties up to the greater of $10,000 or 10% of the sale price.
Kentucky	HB 62 (KRS 324.010, 324.020)^[27]	Signed March 23, 2023	Advertising an equitable interest in a purchase contract is real estate brokerage and requires a license.
Louisiana	Act 807 of 2026 (La. R.S. 37:1448.5)^[17]^[21]	August 1, 2026	Written disclosures; seller may cancel for any reason for at least 5 calendar days; deposit of at least 1% held in escrow; no liens or title clouds.
Maryland	HB 124 (Chapter 508), Real Property § 10-715^[12]	October 1, 2025	Written disclosure that the contract may be assigned; owner may rescind before closing if notice isn't given and the contract is assigned.
Missouri	SB 973 (Mo. Rev. Stat. § 407.3600)^[24]	August 28, 2026	Written disclosure signed by the wholesaler and owner at least 14 calendar days before contracting; if it's missing, the owner may cancel before closing and keep the wholesaler's earnest money.
Nebraska	LB 892 (Neb. Rev. Stat. § 81-885.02)^[28]	2022	Publicly marketing an equitable interest in a purchase contract (vacant lots excluded) is brokerage requiring a license.
North Dakota	HB 1125 (N.D.C.C. §§ 43-23-06.1, 43-23-24)^[11]	August 1, 2025	Written disclosure by wholesalers; seller may cancel before closing if the disclosure is missing; publicly marketing a contract interest for a fee falls under broker licensing.
Ohio	Senate Bill 155 (R.C. § 5301.95)^[6]	March 2, 2026	Separate bold written disclosure signed by the owner before contracting; owner may cancel before closing and keep the wholesaler's earnest money if it's missing.
Oklahoma	SB 1075 (59 O.S. § 858-102.1)^[2]	November 1, 2025	Written disclosure of intent to assign for more than the owner was offered; advice to seek legal counsel; 2 business days to cancel; deposits escrowed in Oklahoma.
Oregon	HB 4058^[9]	July 1, 2025	Registration with the Oregon Real Estate Agency unless licensed; written disclosures; buyer or seller may cancel through the third business day.
Pennsylvania	Act 52 of 2024^[3]	January 4, 2025	A real estate license; disclosure of wholesale intent; seller may cancel until midnight of the 30th day after signing or conveyance, whichever comes first.
Rhode Island	SB 3136 Sub A (R.I. Gen. Laws ch. 34-51)^[25]^[26]	January 1, 2027 (signed June 23, 2026)	A real estate license; written disclosure before contracting that the contract may be assigned; seller may cancel for any reason within 3 business days.
South Carolina	S.C. Code §§ 40-57-30(44), 40-57-135^[5]	May 21, 2024	Defines wholesaling; marketing the property itself before owning it can require a broker license.
Tennessee	SB 909 (Public Chapter 72)^[13]	2025	Disclose intent to market the contract before signing; disclose the assignment at least 3 business days before it takes effect.
Texas	Occupations Code ch. 1101 (SB 2212); Property Code § 5.0205^[7]^[23]	In effect (seller notice rule since Jan. 1, 2024)	Written notice of intent to assign; accurately disclose you're selling a contract interest; offering a property you don't own is brokerage requiring a license. Wholesaling stays legal when the rules are followed.
Virginia	Va. Code § 54.1-2100^[18]	July 1, 2024	Dealing in real estate contracts, including assignable contracts, 2 or more times in 12 months falls under the broker license definition.
Wisconsin	2023 Wisconsin Act 208 (Wis. Stat. § 710.13)^[19]	March 24, 2024	Written wholesaler-status disclosure to the seller; seller may rescind before closing if it's missing.
Philadelphia (city)	Philadelphia Code § 9-5202^[4]	2020	A city Residential Property Wholesaler license.

States with regulator guidance

State	Law	Effective	What it requires
North Carolina	N.C.G.S. ch. 93A; Real Estate Commission bulletin^[20]	December 2023	A genuine buyer can assign without a license, but soliciting sellers as a "cash buyer" while intending to find another buyer for a fee can be unlicensed brokerage.

States with no wholesaling-specific rule found

As of September 2026 we found no law or regulator guidance written specifically for wholesaling in these jurisdictions. General real estate licensing, contract, and fraud law still applies, and some states have bills pending:

Alaska · Arkansas · California · Colorado · District of Columbia · Florida · Georgia · Hawaii · Idaho · Kansas · Maine · Massachusetts · Michigan · Minnesota · Mississippi · Montana · Nevada · New Hampshire · New Jersey · New Mexico · New York · South Dakota · Utah · Vermont · Washington · West Virginia · Wyoming

Related rules in states without a wholesaling law

Georgia has no wholesaling statute, but since 2024 unlicensed buyers who send written purchase offers must include specific disclosures: that it's a solicitation, that you don't have to respond, that the offer may not be fair market value, and whether it's below the tax-assessed value.^[32] Some cities have their own rules too. Atlanta bans repeated unsolicited contact after a homeowner asks it to stop, and Baltimore and Philadelphia bar soliciting homeowners who have said they aren't interested in selling.^[32]

What this means for sellers

You may have a right to cancel. Several states give sellers a cancellation window, and many let you cancel if required disclosures are missing.
Disclosure is becoming the norm. In most regulated states, a buyer who plans to assign your contract has to tell you in writing.
Missing disclosures can void the deal. In Oklahoma, a wholesale contract without the required disclosures or cancellation form is invalid and unenforceable.^[2]
Even with no specific law, you can ask. A buyer who lies when you ask whether they'll assign the contract may face fraud claims anywhere. See contract red flags.

This page summarizes the rules; it isn't legal advice. Laws change quickly. Read the linked source for your state, and consider a real estate attorney before you sign.

Check the buyer before you sign

See scores, recent reviews, and warning signs for cash buyers in your city.

Common questions

Is wholesaling real estate legal?

Yes, in most states, but 23 states and Philadelphia now regulate it, requiring some combination of a license or registration, written disclosure to the seller, and a seller's right to cancel.

Which states require a license to wholesale real estate?

Examples include Illinois and Virginia, which treat dealing in assignable contracts 2 or more times in 12 months as broker activity; Pennsylvania, which requires wholesalers to be licensed; Iowa, which requires a licensed broker or broker representation; Delaware and Rhode Island, whose license requirements start in 2027; and Philadelphia, which requires a city license. Kentucky, Nebraska, North Dakota, South Carolina, and Texas require a license to publicly market a contract interest or a property you don't own. Oregon and Connecticut require registration instead.

Can I cancel a contract with a wholesaler?

In many regulated states, yes. Oklahoma gives sellers 2 business days, Connecticut 3 business days (Rhode Island too, starting in 2027), Oregon through the third business day after disclosure, Louisiana at least 5 calendar days, and Pennsylvania until midnight of the 30th day. Several states, including Missouri, Ohio, and Indiana, also allow cancellation if required disclosures are missing.

Is wholesaling legal in California, Florida, or Georgia?

As of September 2026 we found no wholesaling-specific law in California or Florida. Georgia has no wholesaling statute, but since 2024 unlicensed buyers who send written purchase offers must include specific disclosures. General real estate licensing, contract, and fraud law still apply everywhere, so a wholesaler who markets property they don't own or lies about their plans can still face legal trouble.

Sources

General information, not legal advice. Laws and practices vary by state; consider a real estate attorney before signing.