Many of the full time investors I work with also have their re licenses…

Not sure why you would assume that being an investor who is also a licensed agent would lead to conducting business in a cavalier or reckless manner…

I don’t see the correlation, Larry.

But then again, I’m not an Expert Witness on Realtor Ethics, so what do I know?

here’s how “cavalier, reckless conduct” can come about. An investor obtains a license solely to earn commissions on his/her own transactions. It’s very easy for that person to think, “Rules? Ethics? I’m an investor, not a Realtor — I don’t need any stinking rules or ethics!”

And then, one day a year or two later, I get a call from the plaintiff’s attorney.

Got it?

Precisely why I decided not to get my license- too many rules and regulations.

Not sure what you are referring to as being cavalier, reckless conduct, though…

Take care,
Steph
Non-licensed REO Wholesaler Extraordinaire

1. Realtor associations do not look kindly upon members who let others access the MLS. Revocation of membership is a possible sanction.

2. State legislatures pass rules and regulations that licensees must follow or face civil and even criminal penalties.

3. Cavalier, reckless conduct in the course of a transaction can not only get licensees in hot water with the Realtor association and the state, but also place them at the wrong end of a suit for damages.

Imagine turning all of your profits — and then some — over to your defense attorney.

Larry Lowenthal
Expert Witness, Realtor Ethics.

You bring up some good tips though, and there is some serious money to be made in these short sales right now. My problem is finding the time to do the research required for finding a great property. lol

Agent licensing requires education, which can be extensive in some states. What you learn in these courses can make you a better investor.

IT has certainly made a difference in my business.

@Chris – I know of a few people who are doing what you suggest – having a spouse get licensed so they are not bound by the restrictions that do come with a license.

Just curious, do you need to put your DRE# on all your advertisements for properties you have under contract that you are trying to assign? I know it may be different from state, but just wondering what you have been doing. Thanks!

I don’t have my license. I was able to get MLS access through other friends who are licensed, so I never bothered to get mine.

I don’t know what the rules are regarding disclosing that you are licensed when you are wholesaling, but none of the wholesalers I know who are licensed (which is most of them) ever disclose it on their marketing materials. Not sure if they are breaking the rules or not..

Steph