Experienced Investor gets his salesperson license
I officially got my RE Salesperson licenses in January of this year. I'm going to need my broker's license for the PM company I'm starting up. I figured I'd give it the 'ol college try and see what I would be capable of doing while wearing all my other daily hats.
The first four months of my license were slow. I hadn't taken out any advertising, and I was still working about 80hrs a week on running my Development crew, training new hires, and putting out fires. In May, I decided I needed to step it up if I was going to at least break even. I'm spending over $1000 / month just to have the privilege of being a RE/MAX agent. I opted not to get an office there, as that would have added another $300 / month. OUCH!
Marketing plan in place, the phone starts ringing and I'm busier than I've ever been in my career. Being a new agent and seasoned investor, I had a few hiccups, but quickly learned how to evaluate potential clients and decide weather the risk was worth the reward. To date my sales volume is over 1MM and I'm in line to be between 1.5-2MM by the year end.
Since becoming licensed I'll be the first to report that the RE industry is crawling with unethical and unscrupulous agents. Some out of sheer laziness, some out of greed... I've had offers not presented to sellers, I've had offer's killed by the attorney, and I've sold my first listing first day on the market! It's been a wild rollercoaster, and I'm getting even more selective on my clients. I've taken the broker course, and will be scheduling my exam shortly. I believe I have enough points to shave 1 year off the required salesperson sentence. A lot of other investors have ditched the license shortly after getting it... I guess we'll have to wait and see what happens in 2014. If I can triple my sales volume, I don't see why I would ditch it... at least not YET!
Feel free to hit me up with any questions, and comments are always welcome!
Comments (5)
The problem is being unethical and unscrupulous has 0 effect on their profit margin if not increase it. There are so many agents and no central place to view their reputation or really recognize them. Now if all the MLS listing emails showed the listing agent with a pic that'd be great. A review score involving both sides of the transaction would be icing on the cake.
We need a site to review agents on the other side of the transaction.... Been in the game for only half a year and already have a couple names on my blacklist. Maybe it'll become one of my bored on a Saturday software projects ;)
Derek Hansen, over 9 years ago
I'd love to hear more about the unethical and unscrupulous agents!
Dawn Anastasi, over 10 years ago
Clint W., over 10 years ago
Sounds like you're an extremely motivated person - good job. I'm interested in getting my license also, but mostly for MLS access. Do you mind if I ask - what's the breakdown for that $1k/mo? I want to be prepared for the expenses if I'm going to take the exam. Thanks!
Kyle Duncan, over 10 years ago
Thanks Kyle, I get use of the conference rooms, and there are some computers / phones set up if I need them. My clients get the RE/MAX Plus moving truck after closing. I can ask brokers and agents copious amounts of questions. Really, what what 1K is buying you is a better commission payout. At RE/MAX I get 2.95 of 3% for either side of the sale and 5.9% of a dual agency situation. So, for me it was worth it. By going with a competitor with lower monthly fees I would have only received 1.5% of each side of the transaction. With my volume this year it did pay off to be at RE/MAX. As an important side note, being a REALTOR / Investor has also opened syndication opportunities. Non local investors like when a guy is willing to put his money where his mouth is. ;c) Happy New Year! Mark
Mark Updegraff, over 10 years ago