Connecticut Legislative Bills

Connecticut has recently enacted two significant bills impacting real estate wholesaling: HB 6888 (effective October 1, 2023) and HB 7287, also known as Public Act 25-168 (effective July 1, 2025). These laws require wholesalers to register with the Department of Consumer Protection, mandate clear disclosures including estimated assignment fees, and provide sellers with cancellation windows ranging from 3 to 5 business days.

Under these laws, sellers in Connecticut benefit from buyer protections such as the right to cancel wholesale contracts within 3 to 5 business days after signing. Additionally, sellers must receive full disclosures about the wholesaler’s identity and assignment fees, enhancing transparency during real estate investing transactions.

The Wholesale Registration Act, enacted as Public Act 25-168, requires real estate wholesalers in Connecticut to register with the Department of Consumer Protection. The act also limits the closing date to within 90 days after contract signing and sets specific contract requirements for wholesale transactions, aiming to regulate and bring oversight to real estate wholesaling activities.

Yes. According to HB 6888, wholesalers must disclose the estimated assignment fee to sellers when entering into wholesale real estate transactions. This requirement increases transparency and helps sellers understand any additional costs associated with the deal during real estate investing in Connecticut.

Connecticut sellers can cancel wholesale contracts within a short window: 5 business days after signing under HB 6888, and 3 business days according to HB 7287. These cancellation periods provide sellers with time to reconsider the agreement, improving consumer protections within the Connecticut real estate wholesaling framework.

Real estate investors engaging in wholesaling within Connecticut must comply with registration mandates, disclosure requirements, and timing restrictions specified by these laws. This means investors should ensure contracts meet the legal standards and be prepared to operate transparently, fostering a more regulated and trustworthy real estate investing environment.

Wholesalers must register with the Connecticut Department of Consumer Protection. This registration is a legal requirement designed to monitor wholesaling activity, promote accountability, and protect both sellers and investors involved in real estate wholesaling transactions.

No. The Wholesale Registration Act (HB 7287) prohibits setting closing dates more than 90 calendar days after the contract signing date. This ensures timely transactions and prevents indefinite holding periods in wholesale real estate deals in Connecticut.

Yes. HB 7287 outlines detailed contract requirements for wholesale transactions, including disclosure of assignment fees, clear identification of wholesalers as contract holders, cancellation rights, and closing timeline restrictions. These provisions help standardize wholesaling contracts and protect all parties involved.

Investors should familiarize themselves with HB 6888 and HB 7287, register appropriately with the Department of Consumer Protection, include all mandatory disclosures in contracts, honor cancellation periods, and adhere to contract timing requirements. Staying updated on Connecticut real estate wholesaling laws is essential for legal compliance and successful real estate investing.