Selling to a Licensed Team in PA: What Act 52 Changed

Short answer: Since January 4, 2025, anyone in Pennsylvania who signs a contract to buy a house with the plan to assign or sell that contract to someone else (a practice called wholesaling) must hold a Pennsylvania real estate license. That means the person making you an offer answers to the State Real Estate Commission, works under a licensed broker, and has to tell you in writing what their interest in your sale is.

For homeowners, that change is a big deal. Here’s what it means, how to check who you’re dealing with, and what to ask before you sign anything.

What Is Real Estate Wholesaling?

In a typical wholesale deal, a company signs a contract to buy your house, then sells its spot in that contract (its “equitable interest”) to another buyer for a fee instead of buying the house itself. You may have seen the signs and postcards that say “We buy houses” or “Cash for your home.” Some of those companies buy houses themselves, and some are wholesalers.

Wholesaling can work well for sellers who want a fast, as-is sale. The problem in the past was that it happened with very little oversight, and some sellers didn’t realize their contract could be passed along to someone else.

What Pennsylvania’s Act 52 Changed

Governor Josh Shapiro signed Senate Bill 1173 into law on July 8, 2024, as Act 52 of 2024. It took effect on January 4, 2025, and changed Pennsylvania’s Real Estate Licensing and Registration Act in a few important ways:

Wholesaling is now licensed real estate activity. Anyone who promotes the sale or purchase of an interest in a home with the intent to assign it for a fee must be licensed.
Sellers must be told it’s a wholesale transaction. The law requires written disclosures so you know how your sale is set up.
There’s real oversight. Because wholesalers are now licensees, the State Real Estate Commission can investigate complaints and enforce the rules.

Why It Matters When You’re Selling Your House

Working with a licensed team gives you protections that an unlicensed buyer never had to offer:

Accountability. Licensed agents must follow Pennsylvania license law and answer to the State Real Estate Commission.
Broker supervision. Every licensed agent works under a licensed brokerage that is responsible for their conduct.
Clear disclosures. You’re told in writing what kind of transaction you’re entering and what the agent’s interest is.
More than one option. A licensed team can make a direct offer or list your house on the open market, so you aren’t pushed into a single path.

How to Check Whether Someone Is Licensed

You can look up any Pennsylvania real estate licensee for free through the state’s Pennsylvania Licensing System (PALS) at pals.pa.gov. Search by the person’s name and confirm the license is active and which brokerage they work under. If someone won’t tell you their name or brokerage, treat that as a red flag.

Questions to Ask Before You Sign

Are you licensed in Pennsylvania, and which brokerage are you with?
Are you buying the house yourself, or could this contract be assigned to another buyer?
What would I likely net with your offer, and what would I likely net if I listed instead?
Who pays the closing costs, and what fees come out of my proceeds?
Which title company will handle the closing?

You’re always free to have an attorney or another real estate professional review an agreement before you sign it.

How The Melito & Koch Team Works

We’re a team of licensed real estate agents with Realty ONE Group Supreme. When you reach out, we look at your house and your situation and lay out two paths side by side:

A direct, off-market offer: no showings, no repairs, no cleanout, and a closing date you choose.
A listing on the open market: if your house would likely bring more with full exposure, we can list it and handle the marketing, showings, and negotiation.

We put everything in writing and walk you through the numbers, so you can make the decision that fits you. Learn more on our Sell Your House page.

Frequently Asked Questions

Is wholesaling legal in Pennsylvania?

Yes, when it’s done by a licensed real estate professional who follows Pennsylvania’s licensing and disclosure requirements. Since January 4, 2025, unlicensed wholesaling of Pennsylvania homes is not allowed.

Does selling to a licensed team cost more?

Not necessarily. On a direct sale, we show you exactly what you’d walk away with before you sign. If listing makes more sense for your house, we explain the listing fee up front so you can compare.

Can I still sell my house as-is?

Yes. A licensed team can still buy or arrange the sale of houses in any condition. See our guide on selling a house that needs repairs.

What if a company that contacted me isn’t licensed?

You don’t have to work with them. If you believe someone is wholesaling Pennsylvania homes without a license, you can file a complaint with the State Real Estate Commission.

This article is general information, not legal advice. For advice about your specific situation, talk with a Pennsylvania real estate attorney.

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Talk With a Licensed Pennsylvania Team

If you’re weighing your options, The Melito & Koch Team can walk you through a direct, as-is sale and a traditional listing side by side, so you can see what each path would likely net you. We’re licensed real estate agents with Realty ONE Group Supreme, and there’s no cost or obligation to talk.

Request your no-obligation offer or call us at 814-201-6172.

Selling Your House to a Licensed Team in Pennsylvania: What Act 52 Changed