It's the real deal but is it legal?

It's the real deal but is it legal?

I got the Dean's book like a week ago and I'm half way through.
I'm excited and enjoying it at the same time and also has been following up on the videos in the blogs etc..
I do however have one important question that has been bothering me: many of the transactions described in the book and or on this site, sound like real estate deals that only LICENSED real estate realtors or brokers are permitted to and not just me, you or the next door neighbor. Doesn’t one need to be a licensed real estate agent\realtor\broker to do these kind of deals, at least in certain states? Thanks.



No, on the contrary it's better not to have a RE license, this way you don't have a fiduciary relationship with anyone. The reason for using an agent is to let them do some of the leg work for you, such as find expired listings & make offers. What wholesaling is; is just assigning or selling your contract for a fee. You're are not charging a commission for selling the property, now that would be illegal without a license.

I hate when people answer my questions with questions but...

Now keep in mind I am not an expert by any means YET & still learning myself, But why would it not be legal to find a property for a good price for any number of reasons, then turn around and sell it to another person who's looking for that type of property and get paid for your time and effort? ( In the case of Wholesaling )


Purchase an ugly property, give it a makeover & sell it for a profit?

I guess if you have a more specific question or example you may get a different answer though...And yes absolutely your gunna want to ensure that each component of making a deal happen fits within the guidelines of the law.

Thanks for the quick reply...

That was exactly my point… I’m not a legal expert and new to RE myself. I assumed that for the simple fact the state has decided to license agents\realtors, it intended certain RE transactions to be made by experienced\knowledgeable\accountable individuals etc.
I guess need to continue reading the book to understand more Smiling...

Do your homework...

It is not illegal to do the things in Dean' book. However, when dealing with foreclosures and short sales... do your homework. The laws are changing so much in my state, California, that I can't keep up. For example, you must be a licensed residential loan person if you're going to negotiate short sales and have the bank pay you a negotiation fee. If you're not going to take a negotiation fee then at the very least you need to be a licensed real estate agent. Also, you cannot do any kind of short sale flipping in California. If you do you MUST disclose everything to the bank when you put your offer in. These are just few things that have changed. Make sure you are up to date on your state's policies.

Press on...


Point taken. Hense was my question in the first place... I guess it all depends on the type of deal you're making and the state you're in. And doing your homework is a must...


omrik This is good place to go. or go to and find a Real Estate Investors club if there none in your state then go to the next state near you. You will get more info there too alot more.


Pray for what you want but work for the things you need.


The answer is no, you do not need a license. You need motivation and drive. It is a lot of work but it is worth it and it can be done. I have completed 10 deals since I bought Deans book and I have 4 more in the works. Just do it!


"Don't tell me I can't, Tell me how I can."

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