I have a friend who bought a flip house with a partner. They are also partners in an LLC investment company, which is holding title to the house. When the house rehab is complete, they will likely list the house with the agent who sold it to them. In the mean time, they want to list is FSBO to attract some interest possibly to sell it unfinished, or let the buyer select finishes.
Since they are not licensed brokers are they allowed to to put a FSBO sign in the yard that contains their investment company's name? What if they put separate signs in the yard - 1 for FSBO and one for the company?
I will soon have a license and will handle some of their future listings, but what are they allowed to do for advertisement as non-licensed LLC owners?
Thanks in advance for your input!
Just my thought, and by no means to be taken as legal advice....but I would think that if the LLC is listed on the deed (without individual names), I would assume it would be a safer bet to have the company on the signs. FSBO implies that an individual/individuals are selling the house.....which is also the case here, but I would default to the name on the deed....just so the buyer doesn't think they're being misled if the company will be the legal seller.
I'd be interested to see what others think!
To clarify, I don't think they want the sign to necessarily say FSBO. My first question should have been - can they put up a sign in the yard that says "For Sale by 123 Investments" if they are not licensed?
Yes, they are selling what they own....not trying to sell for someone else, for a fee.
@Jake Matthew My understanding is that you can post a fsbo sign in your own yard and I assume it's the same if the owner is an LLC that you control. I believe you only need one sign.
Sign laws are usually covered by the city. Google the city name and "municipal ordinances" and you can usually find them online. Most have a section on signs. Most that I've reviewed, and I've reviewed a number of them since "bandit signs" comes up here so often, allow for sale signs to be posted on a property that's being sold. Being licensed doesn't come into play.
Jon Holdman, Flying Phoenix LLC
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