Association Legislative

Legal Tip: Contractors Registration for Flippers

Thinking about ‘flipping’ a fixer upper? Make sure you and those who work for you are registered contractors! Learn the law about rehabbing properties before you flip…

QUESTION:  Must a flipper, an investor who buys a property in Rhode Island, rehabs it, then resells the property, register as a contractor?

ANSWER: Yes.  R.I.G.L. § 5-65 requires a flipper to register as a contractor unless he or she lives in the property for a year after the completion of the work.State regulation defines flipping as, “when a person performs, employs others to perform, or for compensation with the intent to sell the structure, arranges to have performed any work described in 5-65-1 (3) if within a twelve month period offers for sale that structure on which that work was performed.


QUESTION: If the investor hires subcontractors who are licensed or registered, must the investor still register as a contractor?



QUESTION:   If an investor uses different business entities to buy and rehab property, can the investor use a different registration for each entity?

ANSWER:  No.  Each corporation, LLC, or other entity must register separately with the Contractors’ Registration Board even if the same person is involved with each entity.


QUESTION:  How does an investor register as a contractor?

ANSWER:   The requirements are listed on the Contractors’ Registration Board web site.

Questions? Contact the Contractors’ Registration Board at or the RIAR Legal Department at 401-432-6945.


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