Oregon’s HB 4058 Requires Wholesalers to Have a High School Diploma, Register with the State, Undergo Background Checks, and Provide Seller Disclosures, starting July 1, 2025.
PORTLAND, OR – June, 2025 – With Oregon House Bill 4058 going into effect on July 1, real estate wholesalers in the state will face new regulations, including mandatory registration, background checks, and required disclosure to homeowners. Under the new law, companies wishing to wholesale in the state of Oregon must register with the Real Estate Commissioner, pay a $300 fee, pass a background check, disclose their role in writing to both buyers and sellers, and include disclosures in all property advertising.
HB 4058 also gives sellers a three-day window to cancel any agreement without penalty after receiving the required disclosures, giving sellers time to reflect on their decision before they are bound to the sales contract.
Wholesaling is the practice of entering into a contract to purchase a home for a set price, typically “as-is,” then assigning that contract to a third-party buyer for a fee, without acting as a fiduciary to the seller. While this model can offer an attractive solution to many sellers with houses in states of extreme disrepair, the potential for large profits has led to a flood of inexperienced and unqualified wholesalers, who oftentimes have no funds of their own and thus have no ability to perform.
While some Oregon wholesalers have decried the bill as an attack on their industry, some wholesaling companies are supportive of the effort.
“Oregon is raising the bar, and it’s long overdue,” said Scott Dalinger, owner of Better Off Home Buyers. “For far too long I’ve seen wholesalers – particularly new ones – run roughshod over unsuspecting sellers. They’ll put homes under contract at unrealistic prices, with no intent or ability to perform, only to pull the rug out from under the seller at the last minute when they can’t find a buyer”
Dalinger added, “There are large wholesaling operators from other states who have never even set foot in the state of Oregon. They bombard our homeowners with aggressive marketing, and make empty promises to buy their houses – with no accountability. When they fail to bring in a buyer, they cancel the contract and disappear. It’s especially heartbreaking when the seller is elderly, or already packed up and ready to move. This new legislation goes a long way to weed out the bad actors in the industry.”
To illustrate the importance of working with a qualified homebuying company, Dalinger recounted a recent case in which an out-of-state seller needed to liquidate her deceased brother’s property in probate.
“The seller was in so much grief that she could not bring herself to set foot on the property. And to make matters worse, the house was occupied by a squatter, who falsely tried to claim ownership. We coordinated with attorneys and the title company, resolved the squatter issue, and closed on time, at the original agreed-on price. A fly-by-night wholesaler would have never been able to close that deal.”
The seller later wrote, “Throughout this complex process, Dylan and Scott demonstrated exceptional professionalism, patience, kindness, and efficiency. Their trustworthy approach made an otherwise difficult situation far more manageable. The transaction was finalized smoothly with Chicago Title, and I couldn’t be more pleased with the outcome.”
Better Off Home Buyers applauds HB 4058’s effort to raise industry standards and create a more secure, transparent experience for sellers across Oregon.
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Media Inquiries:
Scott Dalinger
Owner, Better Off Home Buyers
scott@coast2coasthousebuyers.com
Offers:
dylan@coast2coasthousebuyers.com
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