REALTORS® and Wholesaling

[Jason Toudt]

Context

I'm a licensed real estate broker in North Carolina, and a member of the local and national REALTOR® Associations. I also want to start investing, and from what I've been learning from the podcast, books, and other sources, I believe the route I'd like to start in is wholesaling.

The Question
Is there any rule in the REALTOR® Association Code of Ethics and Standards of Practice that would prevent a REALTOR® from participating in/conducting wholesale deals? Since it is a type of transaction that typically does not involve any type of representation and will usually use/require contract forms other than the ones provided by the Association.

I may be overthinking this, but I'd love to hear your thoughts/experiences!

[Joe Funari]

@Jason Toudt As long as you disclose that your a licensed agent on the contract, and that you intend to assign the contract to another buyer you should be OK. Here in Texas the residential contract has specific paragraphs to handle the disclosure that your licensed and that you will intend to assign the contract to another buyer. Here in Texas, all contracts are assignable unless agreed in writing by both parties. But recommend you also discuss with a real estate attorney familiar with NC real estate laws to be certain. Also, @David M. mentioned it would be a good idea to get your brokers approval too before proceeding. Of course, my broker is a fellow investor. So if it makes sense to assign it we will do it. But they are few and far between here in the Dallas/Ft. Worth market. Hope this helps and good luck in your journey.