Oregon’s New Real Estate Wholesaling Law (HB 4058): What It Means for Sellers and Investors in 2025

Oregon Wholesaling Law HB 4058 Goes Into Effect July 1, 2025

If you’re thinking about selling your home off-market in Oregon — or you’re a real estate investor — a new law is about to change how wholesaling works in the state.

Oregon House Bill 4058 (HB 4058), passed in 2024 and going into effect July 1, 2025, imposes new regulations on real estate wholesalers. These rules are meant to protect homeowners from misleading or unethical business practices.

At Better Off Home Buyers, we fully support this law. Here’s what it means for you, whether you’re a seller or a wholesaler.

What Does HB 4058 Require from Real Estate Wholesalers?

Starting July 1, anyone wholesaling residential properties in Oregon must:

Register with the Oregon Real Estate Commissioner
Pay a $300 registration fee
Pass a criminal background check
Have a high school diploma or equivalent
Disclose their role in writing to both buyers and sellers
Include clear disclosures in all property advertising
To be trustworthy, and competent

What does HB 4058 Offer Sellers in Oregon?

What Does HB 4058 Offer to Sellers in Oregon?

It is now mandatory that wholesalers provide disclosures to sellers, prior to entering into a real estate contract to purchase their home. In the past, many sellers were not aware that they were working with a wholesaler, and actually thought that they were working with an end buyer. Now, sellers will be aware of the following:

The buyer is a wholesaler
They hold equitable interest
The buyer is not a licensed broker
The buyer is not an appraiser
The seller now has 3 days to cancel the deal with no penalty
The disclosures detail how to lodge a complain

What Are the Consequences to Wholesalers for Not Following the Law?

Sellers can cancel at any time
Fines ranging from $1,000-$2,500 for the first offense, and $2,500-5,000 for each offense thereafter
Civil penalties
Criminal penalties
The Real Estate Commission in Oregon will strip the license of any wholesaler who acts or conducts themselves in a way that demonstrates bad faith, incompetence, untrustworthiness, or dishonest, fraudulent, or improper dealings

Read the official HB 4058 bill here

What Is Real Estate Wholesaling in Oregon?

Wholesaling is a real estate strategy where a buyer signs a contract to purchase a property—often “as-is”—then assigns that contract to another buyer for a profit, without ever taking title.

This model helps distressed homeowners quickly sell properties in disrepair, without having to make any repairs, or go through a long listing process with a realtor. However, as wholesaling has not been regulated in Oregon, many sellers have been burned by incompetent wholesalers who make false promises and don’t have the money or ability to perform.

Why Some Investors Oppose the New Law

Some out-of-state and high-volume wholesalers see HB 4058 as an attack on the industry. They argue that registration, background checks, and disclosure requirements will slow down deals and limit marketing options, as well as lets sellers unfairly cancel contracts in the three day window.

Why Better Off Home Buyers Supports HB 4058

We believe the law raises the bar for professionalism and transparency in the industry — and that’s long overdue.

“For far too long I’ve seen wholesalers — particularly new ones — run roughshod over unsuspecting sellers,” said Scott Dalinger, owner of Better Off Home Buyers. “They’ll put homes under contract at unrealistic prices, with no ability or intent to perform, only to pull the rug out at the last minute when they can’t find a buyer.”

“Out-of-state operators who have never even set foot in Oregon bombard local homeowners with aggressive marketing and empty promises. When they fail to find a buyer, they cancel the contract and disappear—leaving sellers high and dry, sometimes days before a planned move.”

Real Example: A Probate Property, a Squatter, and a Smooth Close

Scott shared a recent success story that shows why experience and ethics matter in wholesaling.

“A seller contacted us needing to sell her late brother’s home. She lived out of state and was too grief-stricken to even visit the property. To make things worse, a squatter — the brother’s ex-girlfriend — was claiming ownership.”

“We worked with attorneys, resolved the legal issues, and closed with Chicago Title—on time, at the agreed price. There’s no way a fly-by-night wholesaler could’ve pulled that off.”

The seller later wrote:

“Dylan and Scott demonstrated exceptional professionalism, patience, kindness, and efficiency. Their trustworthy approach made a difficult situation manageable. The transaction was finalized smoothly, and I couldn’t be more pleased with the outcome.”

What This Means for Oregon Sellers in 2025

If you’re considering selling a home “as-is” in Portland or anywhere in Oregon, HB 4058 is good news. It means you’ll have:

More transparency from wholesalers
Protection from last-minute cancellations
Better outcomes when working with experienced professionals

About Better Off Home Buyers

Founded in 2019, Better Off Home Buyers is a registered, ethical, and experienced home buying company based in Portland, Oregon. We buy homes in any condition for cash across Oregon and Southwest Washington — including cities like Eugene, Salem, Gresham, Vancouver, Bend, Hillsboro, Beaverton, and beyond. We have an average five-star rating on Google, and are accredited with the Better Business Bureau, with an A+ rating.

We handle complex situations like probate, code violations, evictions, foreclosure, or squatter-occupied homes, and we always aim to close quickly, honestly, and hassle-free.