Updated October 23, 2026
What a wholesaler actually does
A wholesaler signs a contract to buy your house, usually at a low price, and then markets that contract or the house to other investors. If one bites, the wholesaler collects a fee and the other investor closes. The wholesaler never owns the house.
The risk for you is what happens if nobody bites. Contracts like these often have a long inspection or due-diligence period, and the buyer can walk away during it. Sellers can lose weeks — sometimes their whole timeline — waiting on a deal that was never certain.
What South Carolina's 2024 law changed
In May 2024, South Carolina signed Act No. 204 (House Bill 4754) into law. It defines wholesaling as having a contract to buy a home from its owner and then marketing the property to a different buyer before taking legal ownership of it. Advertising or marketing real estate someone else owns, for compensation, counts as brokerage work and requires a real estate license, and licensed brokerages are barred from wholesaling.
The law also says that assigning a purchase contract is not, by itself, wholesaling. So contracts with assignment language still show up. That makes reading the contract — and asking direct questions — just as important as it was before.
This is general information, not legal advice. If a contract worries you, a South Carolina real estate attorney can review it before you sign.
Questions to ask any cash buyer
- Will your company be the buyer named on the deed at closing?
- Does the contract say "and/or assigns" next to the buyer's name? If so, why?
- Where is the money coming from, and can you show proof of funds?
- Which closing attorney will handle this, and may I call their office?
- How long is the inspection or due-diligence period, and can you cancel during it?
- How much earnest money will you put down, and when does it become non-refundable?
- Will you put the offer — and how you got to the number — in writing?
Red flags
- Pressure to sign the same day, or an offer that "expires tonight."
- A strong number that drops sharply after an inspection, with no new information about the house.
- A long due-diligence period paired with a very small earnest money deposit.
- Photos of your house showing up online, or other investors asking to walk through it, before you have closed.
- A buyer who cannot tell you which attorney will close the sale.
How we handle it
We buy houses with our own funds and we are the buyer at closing. South Carolina requires a licensed attorney to close real estate sales, so a closing attorney runs the title search, prepares the deed, and pays out the funds — not us. We show you the comparable sales, the repair scope, and the costs behind our number, and you are welcome to take it to an agent for a second opinion.
When a cash buyer is the wrong call
If your house is in good shape and you can wait a few months, listing with a good local agent will very likely net you more. A cash sale earns its keep when repairs, timing, or the situation make a listing hard. If that is not you, we will say so.