Wholesaling as it is today will be a thing of the past.

Wholesaling
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Wholesaling as it is today will be a thing of the past.

Adam MaciasPro Member
Real Estate Consultant · Fort Collins, CO · Member since 2022 · 295 posts · 179 votes

Wholesaling as it is today will be a thing of the past.

It’ll truly be strange to even hear people and gurus trying to make big money off it.

The more people try wholesaling but then end up not having an end buyer or cancelling contracts or trying weird things like novations, the more all of real estate will be regulated and cause requirements like licensing to be able to transact more than just your personal resident purchase.

Which I don't know why hasn't happened sooner.

Here's all the states (in red or yellow) requiring a license to wholesale or at least have started the process:

Credit: REITipster



I think licensing and regulation is a beautiful thing that should happen if you plan to be an wholesaler and do more than one deal... which is going to be the case for anyone taking this business seriously.

Or even it being regulated to need a real estate agent to do more than one deal outside of buying a personal residence.

I've had plenty of failed attempts with agents in pursuit of wholesale deals and I know exactly why, it's not because the agent couldn't find me deals, it's just not practical to think there's opportunity for the numbers a wholesaler needs to make a profit on top of everyone else needing to these days.

Because the only sellers who truly can sell at a deep enough discount are usually those who ran out of time and just didn't do something sooner with their situation.

I know many coaches and gurus will disagree with me but there’s no regulations on youtube gurus and what they teach either.

If we look at the current state of the market in hot cities, the availability of online resources to the average homeowner, how many deals can you possibly believe are available at 70% of ARV?

This isn't 2011-2013 days but many people are stuck in that time period STILL.

As I finish my licensing study, I'm very grateful I chose this route as opposed to being a one trick pony.

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Don KonipolBusiness Member
Investor · The Woodlands TX / Avon, CT · Member since 2009 · 6k+ posts · 10k+ votes
1y
Quote from @Adam Macias:

Wholesaling as it is today will be a thing of the past.

It’ll truly be strange to even hear people and gurus trying to make big money off it.

The more people try wholesaling but then end up not having an end buyer or cancelling contracts or trying weird things like novations, the more all of real estate will be regulated and cause requirements like licensing to be able to transact more than just your personal resident purchase.

Which I don't know why hasn't happened sooner.

Here's all the states (in red or yellow) requiring a license to wholesale or at least have started the process:

Credit: REITipster



I think licensing and regulation is a beautiful thing that should happen if you plan to be an wholesaler and do more than one deal... which is going to be the case for anyone taking this business seriously.

Or even it being regulated to need a real estate agent to do more than one deal outside of buying a personal residence.

I've had plenty of failed attempts with agents in pursuit of wholesale deals and I know exactly why, it's not because the agent couldn't find me deals, it's just not practical to think there's opportunity for the numbers a wholesaler needs to make a profit on top of everyone else needing to these days.

Because the only sellers who truly can sell at a deep enough discount are usually those who ran out of time and just didn't do something sooner with their situation.

I know many coaches and gurus will disagree with me but there’s no regulations on youtube gurus and what they teach either.

If we look at the current state of the market in hot cities, the availability of online resources to the average homeowner, how many deals can you possibly believe are available at 70% of ARV?

This isn't 2011-2013 days but many people are stuck in that time period STILL.

As I finish my licensing study, I'm very grateful I chose this route as opposed to being a one trick pony.

Wholesalers did themselves in by their method of operating.  The “buyer beware” philosophy is fine for commercial transactions, but taking “advantage” of home owners when they’re most vulnerable and lack market sophistication is something no right thinking person wants.  If a wholesaler can still profit while provided “full disclosure” and adhering to the rules and regulations of real estate licensees then they’ve earned their profit.  


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  • Jay HinrichsBusiness Member
    Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
    1y

    https://www.biggerpockets.com/forums/93/topics/1224328-new-l...

    here is a thread I just did on Oregons new law that takes effect July 1 2025.

    I copied Mr. Trench on it and thought it was important for BP to maybe add in their trainings.

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  • Adam MaciasPro Member
    OP
    Real Estate Consultant · Fort Collins, CO · Member since 2022 · 295 posts · 179 votes
    1y
    Quote from @Jay Hinrichs:

    https://www.biggerpockets.com/forums/93/topics/1224328-new-l...

    here is a thread I just did on Oregons new law that takes effect July 1 2025.

    I copied Mr. Trench on it and thought it was important for BP to maybe add in their trainings.


     So good! Love the discussion happening around this!

    0Reply
  • Don KonipolBusiness Member
    Investor · The Woodlands TX / Avon, CT · Member since 2009 · 6k+ posts · 10k+ votes
    1y
    Quote from @Adam Macias:

    Wholesaling as it is today will be a thing of the past.

    It’ll truly be strange to even hear people and gurus trying to make big money off it.

    The more people try wholesaling but then end up not having an end buyer or cancelling contracts or trying weird things like novations, the more all of real estate will be regulated and cause requirements like licensing to be able to transact more than just your personal resident purchase.

    Which I don't know why hasn't happened sooner.

    Here's all the states (in red or yellow) requiring a license to wholesale or at least have started the process:

    Credit: REITipster



    I think licensing and regulation is a beautiful thing that should happen if you plan to be an wholesaler and do more than one deal... which is going to be the case for anyone taking this business seriously.

    Or even it being regulated to need a real estate agent to do more than one deal outside of buying a personal residence.

    I've had plenty of failed attempts with agents in pursuit of wholesale deals and I know exactly why, it's not because the agent couldn't find me deals, it's just not practical to think there's opportunity for the numbers a wholesaler needs to make a profit on top of everyone else needing to these days.

    Because the only sellers who truly can sell at a deep enough discount are usually those who ran out of time and just didn't do something sooner with their situation.

    I know many coaches and gurus will disagree with me but there’s no regulations on youtube gurus and what they teach either.

    If we look at the current state of the market in hot cities, the availability of online resources to the average homeowner, how many deals can you possibly believe are available at 70% of ARV?

    This isn't 2011-2013 days but many people are stuck in that time period STILL.

    As I finish my licensing study, I'm very grateful I chose this route as opposed to being a one trick pony.

    Wholesalers did themselves in by their method of operating.  The “buyer beware” philosophy is fine for commercial transactions, but taking “advantage” of home owners when they’re most vulnerable and lack market sophistication is something no right thinking person wants.  If a wholesaler can still profit while provided “full disclosure” and adhering to the rules and regulations of real estate licensees then they’ve earned their profit.  


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    5Reply
  • Adam MaciasPro Member
    OP
    Real Estate Consultant · Fort Collins, CO · Member since 2022 · 295 posts · 179 votes
    1y
    Quote from @Don Konipol:
    Quote from @Adam Macias:

    Wholesaling as it is today will be a thing of the past.

    It’ll truly be strange to even hear people and gurus trying to make big money off it.

    The more people try wholesaling but then end up not having an end buyer or cancelling contracts or trying weird things like novations, the more all of real estate will be regulated and cause requirements like licensing to be able to transact more than just your personal resident purchase.

    Which I don't know why hasn't happened sooner.

    Here's all the states (in red or yellow) requiring a license to wholesale or at least have started the process:

    Credit: REITipster



    I think licensing and regulation is a beautiful thing that should happen if you plan to be an wholesaler and do more than one deal... which is going to be the case for anyone taking this business seriously.

    Or even it being regulated to need a real estate agent to do more than one deal outside of buying a personal residence.

    I've had plenty of failed attempts with agents in pursuit of wholesale deals and I know exactly why, it's not because the agent couldn't find me deals, it's just not practical to think there's opportunity for the numbers a wholesaler needs to make a profit on top of everyone else needing to these days.

    Because the only sellers who truly can sell at a deep enough discount are usually those who ran out of time and just didn't do something sooner with their situation.

    I know many coaches and gurus will disagree with me but there’s no regulations on youtube gurus and what they teach either.

    If we look at the current state of the market in hot cities, the availability of online resources to the average homeowner, how many deals can you possibly believe are available at 70% of ARV?

    This isn't 2011-2013 days but many people are stuck in that time period STILL.

    As I finish my licensing study, I'm very grateful I chose this route as opposed to being a one trick pony.

    Wholesalers did themselves in by their method of operating.  The “buyer beware” philosophy is fine for commercial transactions, but taking “advantage” of home owners when they’re most vulnerable and lack market sophistication is something no right thinking person wants.  If a wholesaler can still profit while provided “full disclosure” and adhering to the rules and regulations of real estate licensees then they’ve earned their profit.  



    I've done plenty of deals without and agent, off market not even on the MLS but I'm one of those wholesalers that did things properly, had qualified buyers before even reaching out to sellers and strictly stuck with assignments.

    Biggest problem is so many "wholesalers" barely have the understand of a deed or what title insurance is so there's an immense amount of knowledge they need before hand which can just be provided to them by getting a license! lol

    I love wholesaling, I truly do but times have changed. 

    3Reply
  • Stephen Morales
    Jacksonville, FL · Member since 2016 · 34 posts · 19 votes
    1y

    Been licensed for nearly a decade, I got into wholesaling shortly after because I was tired of losing deals and investors to wholesalers—I couldn’t beat them, so I joined them. Honestly, I think the tightening regulations are a good thing. I’m also glad the FCC is cracking down on robocalls for lead generation; it forces people to commit to real prospecting instead of cutting corners.

    Over the years, I’ve run a solid brokerage team, training agents and now I help people get into wholesaling. I also recommend them to get a real estate license once they make money off their first assignment or two. 

    One thing I’ve noticed is how many licensed agents don’t fully understand the contracts they’re using or the local real estate laws. On the flip side, some wholesalers know the business better than the agents!

    It all comes down to one thing: transparency. This industry thrives when people are upfront and informed—whether they’re agents, wholesalers, or investors.

    1Reply
  • Jerryll Noorden
    Flipper/Rehabber · Wilton, CT · Member since 2015 · 4k+ posts · 4k+ votes
    1y

    I don't know about you all, but I for one am getting sick and tired of these "wholesaling is dead" posts.

    please, dude. Contribute. 

    If you think something is wrong with the way it s done, teach people how to do it right. But just hating on wholesaling in a wholesaling forum is so unbelievably pointless.

    1Reply
  • Jay HinrichsBusiness Member
    Real Estate Consultant · Summerlin, NV · Member since 2014 · 45k+ posts · 66k+ votes
    1y
    Quote from @Jerryll Noorden:

    I don't know about you all, but I for one am getting sick and tired of these "wholesaling is dead" posts.

    please, dude. Contribute. 

    If you think something is wrong with the way it s done, teach people how to do it right. But just hating on wholesaling in a wholesaling forum is so unbelievably pointless.


    its not dead per se  but it is starting to be regulated as it should.. oregon just passed their version. where to wholesale you now need a license and over site by the RE commission.. along with criminal back ground and a BOND.. and as we know not everyone can pass either of those with the bond being the tough one if you have bad credit your not getting a bond. And of course other states are following suit..  Iowa you may not assign contracts for compensation attornies wont close those.. same in South Carolina.. Folks just need to understand things never stay the same.. And for sure I highly doubt those that teach the common wholesaling techinques are not up to speed with all these new laws in all the different states.. Just sayin
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  • Jerryll Noorden
    Flipper/Rehabber · Wilton, CT · Member since 2015 · 4k+ posts · 4k+ votes
    1y
    Quote from @Jay Hinrichs:
    Quote from @Jerryll Noorden:

    I don't know about you all, but I for one am getting sick and tired of these "wholesaling is dead" posts.

    please, dude. Contribute. 

    If you think something is wrong with the way it s done, teach people how to do it right. But just hating on wholesaling in a wholesaling forum is so unbelievably pointless.


    its not dead per se  but it is starting to be regulated as it should.. oregon just passed their version. where to wholesale you now need a license and over site by the RE commission.. along with criminal back ground and a BOND.. and as we know not everyone can pass either of those with the bond being the tough one if you have bad credit your not getting a bond. And of course other states are following suit..  Iowa you may not assign contracts for compensation attornies wont close those.. same in South Carolina.. Folks just need to understand things never stay the same.. And for sure I highly doubt those that teach the common wholesaling techinques are not up to speed with all these new laws in all the different states.. Just sayin

    There is a difference between, informing people of something good or bad, and just crapping and being negative.

    But come on, we both know we know the difference right?

    OK lets analyze this post.

    I still fail to see the value in that post... not one single person genuinely interested in learning how to wholesale would find any value in that post.

    Don't you agree?

    Great.

    Then if that is the case (and it is), why post it here? Sounds more like trying to win a popularity contest, aiming to gain votes and likes from people here that also have something against wholesaling.

    But OK let me play along.

    Let's fact-check this:

    OP: "It’ll truly be strange to even hear people and gurus trying to make big money off it."

    Do you have a CLUE how many big players still make a fortune wholesaling? You, good sir, have NO CLUE what you are talking about. 

    But this post was never about value, helping others, or the truth. We all know this.

    Let's see how many days we have to wait before another "wholesaling is crap" post emerges in the wholesaling group!

    Do yo have any clue how many sellers we and others like me have helped that had no other way out, other than wholesaling? Till this day they still call us up thanking us for what we did for them.

    Just chill! PLEASE!

    1Reply
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