The proposed legislation, General Assembly Substitute Bill No. 5572, establishes a regulatory framework for real estate wholesalers and their contracts in Connecticut, effective October 1, 2025. It defines key terms such as "real estate wholesaler" and "real estate wholesale contract," and mandates that individuals must obtain a real estate wholesaler license from the Department of Consumer Protection to operate in the state, with an application fee of $285. However, wholesalers entering into no more than one contract per calendar year are exempt from this licensing requirement.

Additionally, the bill stipulates that each real estate wholesale contract must include specific elements, such as the wholesaler's name and license number, a provision allowing sellers a ten-day period for attorney review, and a warning statement advising sellers to consult professionals. The contracts cannot have a closing date more than seventy days after execution unless extended in writing by all parties. Violations of these provisions are classified as unfair or deceptive trade practices. The Commissioner of Consumer Protection is also granted the authority to adopt regulations to enforce these new requirements.