Hello again forum. Grant mone here. First time wholesaler/investor.
In Florida. Do you NEED a license to flip houses. You are selling the contract NOT the house.
This is foggy to me. Ive had both sides tell me Yes and No. I need to be sure. Please give me some guidance. Thanks.
The answer is NO. Don't listen to anyone who tells you otherwise.
Retaining the services of an attorney with knowledge of how to navigate through a transaction in this manner probably wouldn't hurt.
Read florida statute 475.43 to see the actual law. Decide from there.
You can market a contract IF you have equitable interest. If you do not, that is brokering without a license. Brokering without a license is a 3rd degree felony in FL. As @Wayne Brooks stated read 475. Also, contact DBPR with specific questions. They are the ones that would look at your M/O and determine if they believe you are operating legally or illegally.
@Grant Mone p.s.---flipping contracts is NOT flipping houses. To flip a house you must OWN it. Take title, rehab, or simply resell. Clean transaction, 100% legal.
@John Thedford recently posted in another topic that anyone who wanted to know the legality of wholesaling in Florida without a license should call the DBPR, so I did just that. The person I spoke with pointed me to this section of their website,
I asked if having a contract to purchase a property would be considered equitable interest and therefor give me a right to sell it, she said no, you would need to actually own the property. She also told me, "there's more than one way to skin a cat..."
In my opinion, an argument for either side can be made. I personally have a license and encourage anyone who invests or wholesales to do the same. I disclose in all of my contracts and marketing material that I am licensed in the state of Florida and do not represent the seller in the transaction. You can also have a No Brokerage Relationship agreement signed too. We don't do anything shady and close on 95% of the stuff we put under contract, whether it gets wholesaled or not, so I don't worry about being licensed.
As you can see, there are varied opinions, etc. Personally, I dont care if someone wants to assign contracts. I post what I believe will be a help to others and they can agree or disagree. As licensees, we have LOTS more responsibilities and duties that we MUST adhere to.
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