Wholesaling real estate in Pennsylvania
Pennsylvania has rules aimed at wholesaling: license and 30-day cancellation rights. Act 52 of 2024 makes covered residential wholesale transactions licensed activity. Required prominent disclosures include independent advice and the consumer’s nonwaivable cancellation right through the earlier of 30 days after execution or conveyance. Missing disclosures create additional termination rights.
What the research found
- Wholesaling review: License and 30-day cancellation rights.
- Closing: Confirm the local closing arrangement. Ask state counsel and the selected title company which legal, settlement, escrow and recording tasks each professional may perform. Local custom alone is not an attorney-only law.
- Scope: One to four residential dwelling units. Commercial, vacant-land, foreclosure-rescue and seller-financing deals need separately reviewed forms.
Checklist before you sign a wholesale contract in Pennsylvania
- Confirm the permitted deal structure. State counsel must address licensing, registration, the actual marketing activity, assignment or novation, and any foreclosure, distressed-owner, or solicitation restrictions. Draft availability is not permission to wholesale without a license.
- Complete the required disclosure package. Record the current prescribed state forms, delivery timing and acknowledgements, or the attorney’s supported exemption determination. The general seller questionnaire does not replace statutory forms.
- Check federal lead-paint requirements. For covered pre-1978 housing, provide the federal disclosure, known reports and EPA pamphlet before the buyer becomes obligated, and preserve the inspection opportunity unless lawfully modified. Document an applicable exemption separately.
- Confirm the title and closing package. Obtain the legal description, ownership and signing authority, lien payoffs, occupancy documents, required riders, and the closing company’s acceptance of this specific agreement and fee structure.
- Verify the Pennsylvania wholesale license. Record the current qualifying Pennsylvania real estate license and supervising broker where required. The owner exception is not a general exemption for covered wholesale transactions.
- Attach the Pennsylvania wholesale protections. Counsel must approve the prominent wholesale intent, independent-advice, 30-day cancellation, notice-delivery and ten-business-day refund language for this transaction. This must be done before the purchase agreement is signed.
Pennsylvania wholesaling questions
Is wholesaling real estate legal in Pennsylvania?
Pennsylvania has rules aimed at wholesaling: license and 30-day cancellation rights. Act 52 of 2024 makes covered residential wholesale transactions licensed activity. Required prominent disclosures include independent advice and the consumer’s nonwaivable cancellation right through the earlier of 30 days after execution or conveyance. Missing disclosures create additional termination rights.
Do you need an attorney to close a wholesale deal in Pennsylvania?
The research snapshot does not identify an attorney-only closing rule for Pennsylvania. Ask state counsel and the selected title company which legal, settlement, escrow and recording tasks each professional may perform. Local custom alone is not an attorney-only law.
What disclosures does a wholesale deal in Pennsylvania need?
Verify the Pennsylvania wholesale license: Record the current qualifying Pennsylvania real estate license and supervising broker where required. The owner exception is not a general exemption for covered wholesale transactions. Attach the Pennsylvania wholesale protections: Counsel must approve the prominent wholesale intent, independent-advice, 30-day cancellation, notice-delivery and ten-business-day refund language for this transaction. For homes built before 1978, the federal lead-based paint disclosure and EPA pamphlet are required before the buyer is bound.
Can DealRivet draft a wholesale purchase agreement for Pennsylvania?
Yes. DealRivet includes a cash-purchase draft and a conditional novation plan for one to four residential units in Pennsylvania, with this state’s review checklist. Each draft must be reviewed by Pennsylvania counsel and accepted by the closing company before anyone signs.