First, even if you don’t live in Illinois, this information should be of interest to you. Not only are other states likely to follow this initiative, but many investors are working in numerous states thanks to the ease of virtual deals online. What has everyone’s attention is the part of this act that is clarifying what is needed for a legal real estate transaction. It stipulates that you may not act in the capacity of a broker. And what that means in dollars and cents is that anyone conducting more than one transaction per year, without a license is subject to a fine of $25,000.
How Does This Impact Wholesaling?
Virtual wholesaling is very popular. All you really need is an Internet connection, and the desire to grow your business. There is a myriad of information available online that will let you look at and evaluate remote properties as thoroughly as you do the ones in your own city or town. And wholesalers across the country need to be aware of changes made to the real estate laws in every state where they could potentially be making a purchase.
In short, there is no way to know for sure which other states will follow suit if any. But this is an excellent example of the added level of care and caution that real estate wholesalers need to apply when working across state lines. While virtual business deals offer many great opportunities, it is more important than ever to be sure that you are keeping up on changes to policy and real estate laws across the country.