Gov. Shapiro Signs Senate Bill 1173 into Law

Senate Bill 1173 (Stefano, R-Fayette; Rothman, R-Cumberland) was signed into law this week by Gov. Josh Shapiro, making it Act 52 of 2024.

Act 52 amends the Real Estate Licensing and Registration Act to define a residential wholesale transaction, requires anyone who conducts residential wholesaling to have a real estate license and ensures consumers are made aware that they are engaging in a wholesale transaction. It will take effect in 180 days.

The legislation passed quickly in the General Assembly, after being introduced by Sen. Pat Stefano and Sen. Greg Rothman in April this year. Stefano is the chair of the Senate Consumer Protection and Professional Licensure Committee, a Realtor® champion and a member of PAR’s Real Estate Caucus. Rothman is a Realtor® in Cumberland County and a member of PAR’s Real Estate Caucus. The final passage of this important legislation came weeks after Pennsylvania Realtors® visited the state Capitol to advocate for SB 1173 as part of PAR’s annual Realtor® Day on the Hill.

“The swift action on this legislation will now give homebuyers and sellers critical information about what is often one of the biggest purchases of their lives. Greater transparency will offer safeguards for all parties – something we can all support,” Stefano said.

“Residential wholesaling of real estate has become prevalent in recent years, often at the expense of the most vulnerable,” Rothman said. “Senate Bill 1173 would ensure that both homeowners and homebuyers are fully informed of their rights and are equipped to make well-educated decisions.”

PAR CEO Mike McGee said, “Rapid passage of this legislation is a testament not only to our strong advocacy team but also a reflection of our organization’s ability to work effectively with both parties to accomplish critical housing policy goals.”

“This legislation brings much-needed uniformity to residential wholesaling, which occurs throughout the state,” said PAR Incoming President Bill Lublin. “It will provide protection for consumers by requiring them to receive proper disclosures, ensuring transparency throughout the transaction, and giving them recourse if they encounter a problem.”