Vermont situation guide · Updated November 2026

Wholesaling Fire-Damaged Houses in Vermont

Wholesaling fire-damaged houses in Vermont means putting a burned home under contract with its owner, then assigning that contract to a rehab buyer. In Burlington, a fire can leave an owner holding a mortgage, an insurance claim and a building nobody wants to finish.

Insurance claimsBroker-license risk100% online mentorship

Get the free starter kit Book a free call

Call/Text818-532-0481

Let’s find your starting point

Explore the mentorship.

Request a free fit call to discuss your goals and whether the program is right for you.

The short answer

Can you wholesale a fire-damaged house in Vermont?

Vermont has no wholesaler-specific statute that we found, so you can generally contract to buy a burned house and assign the contract, if you stay clear of unlicensed brokerage. Ask a Vermont attorney to review your contract before you sign it.

A fire changes who has a say in the sale. The owner signs, but a mortgage lender often has rights to the insurance money, and the town may have its own interest in a burned structure. Build time into your contract for payoff figures. Our assignment guide and fire-damaged house guide show how the paper fits together.

Vermont has not adopted a wholesaling law, as far as we could find. The broker-license statute can still reach people who market an interest in land for pay, so read our legality overview and check current text before you advertise anything. A fire also raises an honest-dealing issue: tell the seller you plan to assign, and never hide what you know about the damage from your buyer.

Fire-Damaged Houses in Vermont at a glance

Wholesaler law	No specific statute located; verify
Broker statute	26 V.S.A. 2212 bars unlicensed brokerage
Seller disclosure	Floods only, not fire (27 V.S.A. 380)
Transfer tax	32 V.S.A. 9602; buyer use sets the rate
Lead paint	Older housing can trigger federal and state steps
Who to ask	Vermont licensing office or an attorney

The opportunity

Why fire-damaged houses create deals in Burlington

Burlington is Vermont’s largest city, with a tight rental market and little spare housing. Owners of burned buildings in the Old North End or the Hill Section often cannot rebuild quickly, and some carry more mortgage than they can fund. Our motivated seller guide is a good first read, and you can size the repair with the repair cost guide.

Stuck owners

Owners may lack the cash to finish a rebuild. See our cash for keys guide if tenants remain.

Short supply

Few vacant buildings reach the market, so a rehab buyer may pay for access.

Lender pressure

A lender waiting on a claim can make a quick, certain close attractive.

Get the free starter kit See the mentorship

Lead sources

Where to find fire-damaged leads in Burlington

Drive the neighborhoods. Look for boarded windows and tarps. Our driving for dollars guide sets out a route.
Ask local contractors. Restoration crews and roofers often know about a burned house before it is listed.
Check the land records. City and town clerks keep deeds and mortgages. Use our owner search guide.
Watch for code notices. Unsafe-building complaints can point to a stalled house. See the code violation guide.
Mail the owner. A short, kind letter works best. Try the yellow letter guide.

Your exit

Who buys burned houses in the Burlington area

Local rehabbers, small landlords and builders with crews are the usual buyers. Our cash buyer guide shows how to gather them. Send each one a clear repair scope.

Buyers also run their own tax math. Vermont’s property transfer tax can be higher for a non-rental residential property that will not be the buyer’s home, so ask them what rate they expect. Our transfer tax guide covers the basics.

Book a free call

Step by step

How to start wholesaling fire-damaged houses in Vermont

Meet the owner. Listen first. Learn the lender, the claim status and the timeline.
Check the title. Order a search through an investor-friendly title company to find mortgages and liens.
Walk the building. Only enter when it is safe and with the owner present.
Run the numbers. Test the deal in the ARV calculator and again in the MAO calculator.
Write the offer. Follow the offer guide and add time for payoff figures.
Disclose and assign. Put your assignment plan on paper for the seller.
Close with care. Use an attorney or title company so the lender and any claim are settled.

Your checklist for wholesaling Fire-Damaged Houses in Vermont

Get written payoff figures from every lender.
Ask whether an insurance claim is open and who gets the money.
Confirm the building is safe before anyone enters.
Let a Vermont attorney read the contract first.
Tell your buyer every damage fact you know.

A Vermont example: a burned duplex in the Old North End

Estimated ARV	$480,000
Repair estimate	$140,000
Buyer ceiling at 70%	$196,000
Contract price	$185,000
Assignment fee	$12,000
Buyer total price	$197,000

Picture an owner in Burlington’s Old North End whose duplex had a kitchen fire that spread to the second floor. The mortgage is nearly $170,000, and the claim has stalled. The owner tells you the building is a burden.

You open the ARV guide, pull sold duplexes, and estimate $480,000 repaired. With $140,000 of work, the 70% rule gives $196,000, so you sign at $185,000 with time for lender figures.

A rehabber signs the assignment and sends you a $12,000 fee. The owner clears the loan and keeps a little cash. These numbers only illustrate a worked example.

Vermont rules to know

Licensing, transfer tax and lead rules

Vermont’s broker statute, 26 V.S.A. 2212, says no one may act as a real estate broker without a license. The definition in 26 V.S.A. 2211(a)(4) covers acting for another, for pay, in a continuing course of conduct, and lists dealing in options and holding out as in the business. An owner exemption exists in 2211(b)(1) for a bona fide owner, and the text does not say whether a contract buyer qualifies. Penalties run through 26 V.S.A. 2213. Ask the Office of Professional Regulation or an attorney, and check current text.

The property transfer tax is in 32 V.S.A. 9602: a base rate of 1.25%, a lower rate for a buyer’s principal residence, and 3.4% for certain non-rental residential property. Whether a burned building counts as fit for year-round habitation is a question for the Department of Taxes. Older homes may also raise lead-paint steps under 18 V.S.A. 1767, so check current rules and see our attorney guide.

Learn it with a mentor

Get a second set of eyes on a burned house

Damage deals have more moving parts than most. Mentorship students send us their repair scopes and contracts, and we help them spot gaps before they sign.

See the course See the mentorship

FAQ

Fire-Damaged Houses in Vermont: common questions

Is wholesaling fire-damaged houses in Vermont legal?

Our research turned up no Vermont law written for wholesalers, so assigning a contract on a burned house is generally possible. The risk sits in the broker statute, which can reach paid brokerage. Disclose your plan to the seller, keep ads factual, and confirm with the Office of Professional Regulation or counsel.

Does the seller have to disclose fire damage in Vermont?

Vermont’s only statutory seller disclosure we found, 27 V.S.A. 380, covers flooding, not fire. You should never hide what you know from a buyer, because licensees owe a duty of honest disclosure and fraud claims remain possible. Give your buyer the same damage facts the seller gave you, in writing.

Who gets the insurance money on a burned house?

It depends on the policy and the mortgage. Lenders commonly hold rights to claim funds on a loan, so assume yours does until the payoff letter says otherwise. Build time into your contract to learn the claim status, and let the owner’s attorney or lender explain what happens to any unpaid proceeds.

How do I price a fire-damaged house in Burlington?

Take the repaired value from nearby sold homes and subtract a careful repair estimate. What remains must cover a rehabber’s profit and leave room for a fee. Have a contractor check for hidden smoke and water damage, which can add cost fast, and treat any percentage rule as a first screen only.

Can I sell the contract to more than one buyer?

You can market the deal to several buyers, but you can only assign to one. Be careful with how you advertise, because the broker statute reaches advertising or holding yourself out as in the business. Say you have a contract, not a listing, and have counsel review the wording before it goes out.