Residential Wholesaling Legislation Approved by the Pennsylvania General Assembly

Key priority legislation of the Pennsylvania Association of Realtors® was approved on concurrence by the Pennsylvania Senate on July 2, following House of Representatives approval a day earlier.

Senate Bill 1173 (Stefano, R-Fayette) was approved by a combined 252 to 1 vote, with the Senate approving the bill 49-1 and the House of Representatives passing the bill 202-0.

SB 1173 would require a real estate salesperson license to conduct residential wholesale transactions in the commonwealth. The legislation is the culmination of the efforts of the PAR Legislative Committee and a Wholesaling Task Force of members.

The bill is sponsored by Sen. Pat Stefano (R-Fayette), chair of the Senate Consumer Protection and Professional Licensure Committee, a Realtor® champion and a member of PAR’s Real Estate Caucus.

In addition to amending the Real Estate Licensing and Registration Act to require a license, SB 1173 also ensures that consumers are made aware they are engaging in a wholesale transaction by receiving proper disclosures.

Residential wholesaling occurs throughout Pennsylvania, and this legislation brings much-needed uniformity by ensuring that persons engaging in wholesale transactions are licensed to practice real estate. The disclosure requirements for wholesale transactions also bring transparency to the current process, which can often be confusing and unclear.

Final passage of this important legislation comes just weeks after Pennsylvania Realtors® visited the state Capitol to advocate for SB 1173 as part of PAR’s annual Realtor® Day on the Hill. Nearly 250 Realtors® met with more than 110 legislators to discuss the bill and explain why it was important for the commonwealth to take action on this issue.

SB 1173 now heads to the governor for signature into law. Please watch for more information on this key legislation in PAR JustListed and on the legislative priorities webpage.