How to Wholesale Real Estate in Los Angeles, California (Step-by-Step Guide)

Los Angeles is a global powerhouse. Entertainment, tech, and logistics fuel year-round demand across South LA, Inglewood, Boyle Heights, Echo Park, Leimert Park, and the eastside. That momentum attracts active investors, and it creates a sweet spot for beginners who want to wholesale houses without huge upfront capital. If you’ve been waiting for a clear path, you’re in the right place.

This guide shows you exactly how to wholesale real estate in Los Angeles the right way. We’ll keep it local and legal, walk through each step in plain English, and point you to the resources that matter here in Los Angeles County. You’ll also get a quick statewide primer with our California video and a free quick-start guide so you can take action today.

Use the jump links below to skip to what you need now, or read straight through for the full blueprint:

• Is Wholesaling Real Estate Legal in Los Angeles?
• How to Wholesale Houses Across California (Video Guide)
• Los Angeles Real Estate Market Overview
• How to Wholesale Real Estate in Los Angeles (Step-by-Step)
• Pros & Cons of Wholesaling Houses in Los Angeles
• Los Angeles Resources: Title Cos, REI Groups & Tools
• Free Download: The Ultimate Guide to Getting Started
• FAQs: Wholesaling in Los Angeles
• Final Thoughts & Next Steps

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Is Wholesaling Real Estate Legal in Los Angeles?

Yes. Wholesaling real estate is legal in Los Angeles, California, provided you only market or sell your assignable contract, not the house itself. Simply put: you put a property under contract, then sell your spot in that contract to a cash buyer for a fee. California law allows this so long as you’re assigning your equitable interest; you are not acting as an agent or brokering a sale. That means no advertising the property itself unless you own it, no speaking on behalf of sellers or buyers, and no collecting commissions without a license.

California’s rules come from the Business and Professions Code. The simple version: don’t act like a real estate agent without a license; that includes negotiating on someone else’s behalf or collecting fees beyond the assignment. To stay compliant, present it as a contract opportunity, be clear that you’re the buyer on contract, and let a title company handle the closing. If a seller or buyer is uneasy about assignments (or your fee is large), use a double close instead (you buy, then resell—often the same day).

Most purchase agreements in California use the California Association of Realtors’ Residential Purchase Agreement (RPA). This contract is not assignable by default; you need to amend it with a separate assignment addendum (C.A.R. Form AOAA) and get the seller’s approval. Always use an assignable purchase agreement, a clear inspection window, and a separate assignment document.

When in doubt, call your title company or a California real estate attorney. And remember: California’s Natural Hazard Disclosure Act requires sellers to disclose whether a property sits in flood, fire, earthquake, or seismic zones and whether it carries Mello-Roos taxes; the disclosure is prepared by an engineer or land surveyor and must be signed before closing.

 

 

*Educational only—not legal advice: If you have questions about Los Angeles wholesaling laws, assignment contracts, or deal structure, speak with a California real estate attorney and your title company.

How to Wholesale Houses Across California (Video Guide)

Before we zoom into LA, it helps to see the statewide picture. California’s rules apply no matter which county you’re in, and buyers and sellers often operate across multiple markets. That means learning how to wholesale real estate in California—the legal basics, deal flow, and paperwork—will make everything in Los Angeles feel easier and safer.

This short California wholesaling video walks through the full workflow: what’s legal, how to wholesale houses via assignment vs. double close, how to build a buyer list that actually closes, and how to set ARV/MAO so you never overpay.

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With the statewide foundation set, let’s apply it to Los Angeles—local neighborhoods, contracts, buyers, and sellers—step by step. But first, let's take a look at one of our favorite success stories.

Chase and Diana’s Los Angeles Wholesaling Breakthrough

Meet Chase and Diana—full-time professionals, busy parents, and brand-new investors who decided they would not wait for “someday.” With demanding schedules and kids to provide for, they used the Real Estate Skills step-by-step system to focus on high-leverage actions: learning California real estate contracts, pulling tight comps, setting After Repair Value and Maximum Allowable Offer, and sending clean offers to real cash buyers in Los Angeles. Within just a few months, they closed two assignments for a total net profit of $40,000.

If you are wondering how to wholesale real estate in Los Angeles without quitting your job, watch the testimonial below. You will see exactly why our playbooks, templates, and coaching are the fastest way to learn how to wholesale houses in California—and why serious beginners choose the Ultimate Investor Program when they want real results, not guesswork.

Real student story; individual results vary.

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Los Angeles Real Estate Market Overview

Los Angeles remains a powerhouse in real estate. Entertainment, tech, and port activity support a diversified job base, while a steady influx of residents fuels demand for rentals and renovated homes. The median sold price of single-family homes in Los Angeles County has reached record highs; homes receive multiple offers and sell in less than 60 days. High price points mean bigger spreads, but also require disciplined underwriting and strong buyers. For investors learning how to wholesale real estate in Los Angeles, this means a large pool of motivated sellers and end buyers year-round.

On the ground, demand clusters around walkable neighborhoods with access to jobs, dining, and transit. Single-family homes dominate, but multi-family, condos, and townhomes trade too. Use local data to target true opportunities: the Combined LA/Westside MLS (TheMLS/CLAW) and CRMLS for comps and days on market, the LA County Assessor’s Portal for ownership history and assessments, and LA County Recorder’s offices for recorded documents and liens (note: there’s no public online index; you’ll need to visit or request records by mail).

Below is a quick snapshot of where wholesalers often focus. Keep in mind: price and velocity shift by street. Always verify comps, days on market, and rent potential before you write an offer on wholesale properties in Los Angeles.

 

 

 

How to Wholesale Real Estate in Los Angeles (Step-by-Step)

1. Partner with a Wholesale Mentor
2. Learn Los Angeles Wholesaling Laws & Contracts
3. Analyze the Los Angeles Market (Comps, ARV, MAO)
4. Build a Cash Buyers List in Los Angeles
5. Find Motivated Sellers & Distressed Properties
6. Put Properties Under Contract
7. Assign Contracts to Cash Buyers
8. Close Deals & Collect Your Assignment Fee
9. Double Close When Necessary

Partner with a Wholesale Mentor

Want to shorten your learning curve? A proven wholesale mentor shortcuts everything—deal analysis, contract execution, seller conversations, and introductions to real buyers. Rather than trial and error, you get proven scripts, templates, and accountability so you make fewer mistakes and move faster.

Start by tapping local networks. Attend LA County investor meetups, flip tours, and virtual masterminds. Ask experienced wholesalers which title companies, escrow officers, and contractors they trust. If you want structured coaching, our Ultimate Investor Program gives you a step‑by‑step path, weekly coaching, and contract support from working pros.

Quick checklist: How to choose the right mentor

• Local track record: recent assignments and double closes in Los Angeles.
• Legal literacy: aligns with California rules and works well with investor‑friendly title companies.
• Buyer access: can introduce you to active cash buyers (criteria, price ranges, closes).
• Systemized training: clear milestones, scripts, templates, and deal reviews.
• Availability: weekly touchpoints or office hours, not just a course portal.

Need a Mentor? Start Here (Free PDF)

If you’ve been thinking, “I just need someone to show me the moves,” that’s us. We’re the mentor you’re looking for, and you don’t have to wait. Grab our free, step-by-step PDF that shows you how to wholesale in any state (including Los Angeles)—from legal basics to buyer lists, offers, and closing. It’s concise, actionable, and designed for your first deal. Download the free guide now:

Learn Los Angeles Wholesaling Laws & Contracts

The paperwork makes or breaks your deal. In California, you aren’t selling the house—you’re selling your equitable interest in a purchase contract. That means clean, California‑friendly documents and clear disclosures. Get these basics dialed before you market a single contract.

Core documents to understand:

• Purchase & Sale Agreement (PSA)
  • Must‑have: an assignment clause or C.A.R. AOAA addendum so your interest is transferable.
  • Protection: a clear inspection contingency so you can verify condition, title issues, and numbers.
  • Clarity: realistic close date, access for inspectors, natural hazard & Mello‑Roos disclosures.
• Assignment of Contract
  
  • Purpose: transfers your contract rights to a cash buyer for a fee.
  • Transparency: fee disclosed; all parties acknowledge the assignment.
  • Flow: title company collects your fee on the settlement statement—no side deals.
• Double‑close documents (when needed)
  • Two closings: you buy and resell back‑to‑back—often the same day.
  • Funding: brief transactional funding may be required.
  • Why: privacy around your spread, or if either party dislikes assignments.

Analyze the Los Angeles Market (Comps, ARV, MAO)

Great wholesaling starts with great numbers. In Los Angeles, that means pulling tight comps, setting a realistic After‑Repair Value (ARV), estimating rehab costs, and backing into a smart Maximum Allowable Offer (MAO) so your buyer still makes money and you still get paid.

1. Define the subject property: beds, baths, year built, square footage, lot size, construction type (wood vs. stucco), hillside vs. flat lot, garage/pool, and neighborhood boundaries.
2. Pull comps: start with MLS data if you have access; otherwise, use public portals for a first pass. Target sold properties within ~0.25–1 mile, past 3–6 months, similar size (±15%), same property type and condition. Note hillside vs. flat comparables—LA’s topography drives values.
3. Filter and adjust: toss out outliers (probate sales, tear‑downs, hillside vs. flat mismatches). Note upgrades (new roofs/HVAC, kitchens, seismic retrofits) and adjust for condition and square footage.
4. Set ARV: from your top three sold comps, take a median price per foot or sale price and apply it to your subject property’s post‑renovation condition.
5. Estimate repairs: line‑item if you can (roof, HVAC, electrical, plumbing, kitchen, baths, flooring, paint, exterior, windows). If you’re newer, use a conservative per‑foot placeholder, then refine after a walkthrough.
6. Calculate the buyer’s target price: many LA flippers underwrite at ARV × 70–75% – repairs (landlords may underwrite to cash flow). Know your buyer’s discount rate.
7. Back into MAO: your MAO = buyer target – your assignment fee – buyer’s closing and holding costs. This ensures your fee fits and your buyer still profits.
8. Pressure‑test: sanity‑check days on market, rent comps (for BRRRR buyers), hazard zones (fire, flood, seismic), and Mello‑Roos obligations before you write the offer.

MAO formula: MAO ≈ (ARV × Buyer Discount %) – Estimated Repairs – Buyer Soft Costs – Your Assignment Fee

Saving your process (subject data, comps, ARV, repairs, and MAO) in a simple worksheet helps you consistently price offers that protect your spread and your buyer’s profit. Nail the numbers and everything that follows (contracts, assignment, closing) gets faster and less stressful.

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Build a Cash Buyers List in Los Angeles

Your buyers list is your oxygen. The bigger and better it is, the faster you can assign contracts and the less you’ll worry about deals falling apart. In Los Angeles, a strong list means investors who actually close—people with clear criteria, proof of funds, and a track record.

Where to find real buyers:

• REI meetups: Attend LA investor groups (e.g., monthly meetups, flip tours, LA County Real Estate Investors Association) to network with active buyers.
• Auctions: Introduce yourself to bidders at county foreclosure sales; they’re paying cash and closing quickly.
• Investor‑friendly agents: Ask agents which cash buyers closed assignments or flips recently; many will share buyers’ price ceilings and buy boxes.
• Online communities: Join Los Angeles investor groups on Facebook, BiggerPockets, and Reddit. Provide value before you ask to add someone to your list.
• Vendors who know closers: Title companies, hard‑money lenders, contractors, and property managers can introduce you to buyers who close; ask for referrals.
• Landlord lists & mailers: Download non‑owner‑occupied owner lists by ZIP; send them simple three‑line postcards.

Keep a simple CRM or spreadsheet: columns for name, entity, phone/email, buy box, title company, proof of funds date, and notes. Tag by neighborhood (South LA, Inglewood, Boyle Heights, Echo Park, Leimert Park, Highland Park, Silver Lake, Eagle Rock, West Adams) so you can blast the right buyers fast without spamming everyone.

Your buyers list is the lever that makes every deal easier. If you’re asking how to wholesale houses in Los Angeles, it starts here—show up locally, verify proof of funds, tag buyer preferences in a simple CRM, and follow up until the right buyer says yes. Do this consistently, and assignments move faster, spreads improve, and repeat buyers start calling you first.

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Find Motivated Sellers & Distressed Properties

Deals start with people who need to sell. In Los Angeles, that can mean landlords with tired rentals, heirs handling probate, owners behind on payments, or homeowners who simply don’t want to list. Stack the methods below, and you’ll never run out of leads.

Track every touch in a simple CRM—owner name, contact method, condition notes, timeline, and price talk—and tag by ZIP so you can match deals to buyers. Follow up weekly until you get a clear “no” or a signed contract.

Compliance note: Keep marketing truthful, respect Do‑Not‑Call rules, honor opt‑out requests, and never misrepresent your role. When in doubt, ask your title company or a California real estate attorney before launching a campaign.

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Put Properties Under Contract

This is where talk turns into a deal. Use your ARV, repair estimate, and MAO to shape a clean offer with an earnest money deposit, clear timelines, and an assignable purchase agreement. Keep seller rapport high, explain your equitable interest in plain English and let the title company quarterback the details.

1. Price it right: confirm ARV from tight comps, estimate repairs (including hillside or seismic work) and set your MAO so your buyer still profits—and you still get paid.
2. Present the offer simply: short close timeline, reasonable inspection window, clear cost splits and a modest EMD delivered to title by a set date.
3. Draft an assignable PSA: include assignment language or addendum, inspection/access clause, realistic closing date, and required disclosures (hazard, Mello‑Roos).
4. Open escrow & deliver EMD: send the executed PSA to title, wire the earnest money and confirm receipt. Ask title early about liens, Mello‑Roos or probate issues.
5. Inspect & lock the path to closing: walk the property, finalize repairs, confirm buyer interest, then proceed to assignment—or double close if needed.

Rehab cost categories vary widely in Los Angeles due to hillside engineering, seismic retrofits and older housing stock. Use the table below as a reference, but always get contractor bids.

 

 

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*For in-depth training on real estate investing, Real Estate Skills offers extensive courses to get you ready to make your first investment! Attend our FREE Webinar Training and gain insider knowledge, expert strategies, and essential skills to make the most of every real estate opportunity that comes your way!

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Assign Contracts to Cash Buyers

Once you have a signed, assignable purchase agreement, package the opportunity so buyers can underwrite in minutes. Share a tight “deal kit”: address, photos, property facts, three best ARV comps, repair estimate, your assignment price, access instructions, timeline, and title status. Remember, you’re marketing the contract—not the property—and you should send it to vetted buyers who match this neighborhood, price, and rehab level.

To execute the assignment, use a simple Assignment of Contract that discloses your fee, names the buyer’s entity, and instructs the title company to pay your fee on the settlement statement. Get a buyer deposit (often non‑refundable after inspection), confirm proof of funds, and set a short decision window. Always keep backup buyers warmed up.

Example fee calculation (illustrative):
ARV = $760,000 · Repairs ≈ $55,000 · Buyer target = ARV × 70% – Repairs = $477,000
Your fee goal = $15,000 → MAO to seller ≈ $477,000 – $15,000 = $462,000
If you contract at $455,000, your final assignment fee becomes $22,000 at closing.

Backup plan if a buyer backs out: notify your next buyer immediately, extend with the seller only if needed, and ask the title company what curative items (if any) you can advance in parallel to keep the file moving.

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Close Deals & Collect Your Assignment Fee

The finish line is all about a clean title, clear communication, and a settlement statement that shows your assignment fee paid by title—no side deals, ever. Work with an investor‑friendly Los Angeles title company that understands assignments and double closes, and you’ll glide through funding and recording.

1. Open escrow: email the fully executed PSA (and assignment if signed) to title; request wire instructions and a timeline.
2. Buyer deposit: have your buyer send EMD to title and confirm receipt in writing.
3. Title search & curative: title orders payoff statements, pulls liens/judgments and clears clouds; you assist with contact info and documents.
4. Settlement prep: title drafts the settlement statement; your assignment fee appears as a payable line item.
5. Docs & scheduling: coordinate signing (in‑office, mobile notary or remote online notarization). Confirm IDs/entities and who is attending.
6. Final walkthrough (if needed): buyer confirms condition/access per agreement.
7. Funding & disbursement: buyer wires funds; title balances file; fee is disbursed to you via wire or cashier’s check per instructions.
8. Recording: title records the deed with LA County and sends final documents/receipts.
9. Post‑close package: save your signed settlement statement, wire confirmation, and recorded docs for your records.

 

 

Dial in this closing checklist and you’ll have a reliable finish line for how to wholesale real estate in Los Angeles: clean title, clear timelines, and your assignment fee shown right on the settlement statement. Partnering with a wholesale‑friendly title company keeps you compliant and smooths funding, recording, and disbursement—no side deals, ever. Do this consistently, and you’ll wholesale houses with less drama, faster paydays, and a reputation that gets you invited back to the table on the next deal.

Double Close When Necessary

A double close (also called a simultaneous closing) is two back‑to‑back transactions—A→B (you buy) and B→C (you sell)—often the same day. It’s the right move in Los Angeles when you want privacy around your spread, you’re facing pushback on an assignment, or an institutional buyer requires you to be in the chain of title. Expect two sets of closing costs and a tighter timeline with your title company.

If you don’t have cash for the A→B side, use transactional funding—a short‑term loan that’s paid off a few hours later by the B→C proceeds. Pricing is typically a small percentage of the A→B purchase plus a flat fee, and some lenders require funds to be “seasoned” for 24 hours. Coordinate wire cut‑offs early, confirm both HUDs/CDs, and keep all parties on a single email thread with your title company.

A double close is your privacy and deal‑saving tool when assignment pushback appears or a buyer needs you in the chain of title. Mastering this workflow—transactional funding, two HUDs/CDs, and tight timing with a savvy title partner—keeps spreads protected and closings on track. Use it alongside your standard assignment playbook, and you’ll find that wholesaling real estate in Los Angeles stays smooth, profitable, and reputation‑friendly while you’re wholesaling houses.

Pros & Cons of Wholesaling Houses in Los Angeles

Every market has trade‑offs. Here’s an honest look at why wholesalers like Los Angeles—and the frictions you should expect as you scale.

 

 

Los Angeles rewards pros who master underwriting, set clear expectations with sellers, and stay compliant. Focus on building real buyer relationships, keeping backups ready, and using a double close when privacy or pushback appears. That combo keeps your pipeline—and your reputation—strong.

Los Angeles Resources: Title Companies, REI Groups & Tools

Here are the local tools you’ll lean on when learning how to wholesale houses in Los Angeles—from investor‑friendly title companies to data sources and networking hubs. Bookmark this and build your “deal ops” stack once, then reuse it on every contract.

• Title companies (investor‑friendly):
  • Ask for processors who routinely handle assignments and double closes; request a redacted settlement statement for proof.
  • Use the ALTA directory or referrals from local investors to vet licensed firms; verify they’ll disburse your assignment fee on the closing statement.
  • Confirm recording details and wire cut‑offs with LA County Recorder; note there’s no public online index.
• REI groups & networking:
  • Los Angeles County Real Estate Investors Association (LAC‑REIA): monthly meetings, vendor expos and mentoring; it’s the oldest and largest investor group in California.
  • Local meetups/flip tours: ask presenters which title companies and contractors they trust.
  • Online communities: Facebook investor groups & BiggerPockets (post buy boxes and recent HUDs).
• Government & public data (LA County):
  • Recorder/Clerk: recorded documents, liens, probates (in person or by mail; no online index).
  • Assessor’s Portal: ownership, assessed values, legal descriptions.
  • LADBS & ZIMAS: permit status, code violations, zoning, hazard zones and hillside conditions.
  • Natural Hazard Disclosure & Mello‑Roos: required by California law; order reports early.
• MLS & market:
  • TheMLS/CLAW and CRMLS: best source for comps, DOM and listing remarks; search distress keywords (“as‑is,” “fixer,” “cash only”).
  • California Association of Realtors & CAR Forms: statewide forms, legal updates and training.
  • Los Angeles Economic Development Corporation and city planning for macro context.
• Tools (deal flow & operations):
  • Skip tracing & outreach: build owner contact lists from driving for dollars and public records; log every touch.
  • CRM: track buyers by ZIP, price ceiling and rehab level; tag sellers by lead source and timeline.
  • Public portals: Zillow/Redfin/Realtor for photos & quick comps (verify with MLS before offers).
  • File room: organized folders for PSA, assignment, addenda, IDs, hazard disclosures, proof of funds and settlement statements.

Locking in these local resources gives you the backbone for repeatable deals—title partners who understand assignments and double closes, REI groups that connect you to real buyers and data sources that keep your numbers tight. Use this stack on every file and you’ll move faster, stay compliant and sharpen the offers that win. It’s the practical infrastructure behind how to wholesale real estate in Los Angeles and the day‑to‑day engine of wholesaling houses in LA.

Free Download: The Ultimate Guide to Getting Started in Real Estate 

Ready to take action? Grab our free, beginner-friendly quick start guide, built to help you learn how to wholesale houses in Los Angeles and move from “interested” to “making offers” the right way (no prior experience or big budget required).

• Why real estate works for beginners: a practical path to building long-term wealth without needing large capital or a license to start.
• Find deals without ad spend: why the MLS is the most reliable place to source opportunities (plus how to search smarter).
• Rentals for long-term wealth: how monthly cash flow and appreciation can convert today’s active income into more passive streams.
• Wholesaling basics: ARV, making data-backed offers, and choosing between assignment vs. double close.

FAQs: Wholesaling in Los Angeles

Here are quick answers to the questions beginners ask most about how to wholesale real estate in Los Angeles. Use these to stay compliant, move faster and set clear expectations.

Do you need a license to wholesale houses in California?

No. California allows you to assign purchase contracts without a real estate license as long as you market the contract, not the property, and avoid acting like a broker. If your activities include negotiating on behalf of others or collecting commissions, you will need a license.

How much can you make per wholesale deal in Los Angeles?

Assignment fees vary widely. In entry‑level areas like South LA, spreads of $10,000–$25,000 are common. In mid‑ to upper‑tier neighborhoods like Echo Park, Highland Park or Eagle Rock, spreads of $25,000–$50,000 (or more) are possible when you lock in a solid MAO and have strong buyers. Factor in higher holding and closing costs and set realistic expectations.

What are the best neighborhoods in Los Angeles for wholesalers?

Popular targets include South LA, Inglewood, Boyle Heights, Echo Park, Leimert Park, Highland Park, Silver Lake, Eagle Rock and West Adams. Each has different price points and exit strategies; always verify comps and rent potential before writing an offer.

How do I find cash buyers in Los Angeles?

Attend REI groups and auctions, work with investor‑friendly agents and use online communities; verify proof of funds, recent closings and a clear buy box. Build a spreadsheet and tag buyers by neighborhood and price ceiling.

How do I find motivated sellers and distressed properties?

Combine driving for dollars with MLS distress searches, auction calendars, skip tracing and LA County public records such as probates, divorces and tax liens. Use LADBS to check permits and code violations and confirm natural hazard and Mello‑Roos disclosures.

Can you wholesale on the MLS in Los Angeles?

Yes, if your purchase agreement is assignable and your disclosures are clear. Many wholesalers source deals directly from TheMLS/CRMLS by targeting “as‑is” or “fixer” listings and presenting cash offers with short timelines. Consider a double close if there is pushback on your fee or when dealing with institutional sellers.

Final Thoughts on Wholesaling Houses in Los Angeles

Learning how to wholesale real estate in Los Angeles is straightforward when you follow a proven path. Get legal clarity first, run tight numbers, line up real buyers, and work clean contracts—then assign and close with confidence (or double close when it makes sense). Momentum beats perfection, so take a small step today.

• Know the rules: market your contract (not the property), use assignable PSAs and partner with a title company that understands investor deals. Deliver required hazard and Mello‑Roos disclosures.
• Nail the numbers: pull solid comps, set a realistic ARV, estimate repairs (including hillside/seismic work) and back into MAO so your buyer and your fee both fit.
• Execute the flow: build a vetted buyers list, source motivated sellers, lock up the deal, assign cleanly and close—double close if privacy or pushback appears.

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*Disclosure: Real Estate Skills is not a law firm, and the information contained here does not constitute legal advice. You should consult with an attorney before making any legal conclusions. The information presented here is educational in nature. All investments involve risks, and the past performance of an investment, industry, sector, and/or market does not guarantee future returns or results. Investors are responsible for any investment decision they make. Such decisions should be based on an evaluation of their financial situation, investment objectives, risk tolerance, and liquidity needs.