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Alabama wholesaling laws
Law addressing wholesaling in effect · Reviewed July 24, 2026
Alabama's SB 228 (2023) requires a buyer who takes an equitable interest in single-family residential property to make written disclosures before marketing or assigning it. No license is required, but a violation is a misdemeanor and can carry treble damages.
What the law requires
- Before marketing the equitable interest, disclose your intent to market it to the seller in writing.
- Disclose the nature of your equitable interest to any later purchaser or assignee.
- Give the seller written notice of an assignment's effective date at least 3 business days beforehand.
- Applies only to single-family residential property; a violation is a Class C misdemeanor and can carry treble the fee received.
- Bill / citation
- SB 228 (2023)
- Penalties
- Class C misdemeanor; possible treble damages on the fee received.
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This is not legal advice.
Laws change and details vary by situation. Confirm Alabama's current requirements with a licensed real-estate attorney before relying on this in a live deal.
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