Legality of assignment contract

[Account Closed]

So I want to start wholesaling houses but I don't have money to buying a house and I learned that I can use contract assignments to make money without having to buy a house but in some states its illegal and some its legal. So I read on a article on biggerpockets that I should seek a attorney and ask them if its legal in my state to do this and I was thinking of asking contacting the Alabama State Bar. But was hoping someone could tell me of any good real estate lawyers in Alabama I live in Selma Alabama so I would really like one that's close to where I live 

[Brandon Sturgill]

@Account Closed Good idea to do some fact finding first...its a hot topic, but wholesaling and contract assignment are generally not illegal activities. The problem is intent and disclosure...you can technically assign any contract. The problem is folks have no intent on closing the deals they tie up in contract...so it equates to unlicensed activity...advertising is another issue...99% of wholesalers here are not doing this correctly, but some are. There seems to be little in the way of regulation...Oregon is a good state to research if you want to see how regulations is starting. This also becomes a consumer protection issue when wholesalers are basically raping people of their equity...leading to involvement from your states attorney general. This is all relative to where I live and what I know...check with your local authorities...odds are this comes down to a risk/reward issue...seems the risk is worth the reward across the board for wholesalers...

Something I would encourage you to do is learn how to structure a purchase money mortgage...there is no need to wholesale as a mainstay...if you find a deal, take it...don't pander it off for a few grand to someone else unless it is the absolute last resort.

Best of luck