Benefits of having a real estate license

[Joshua Lane]

Hey bigger pockets family. Can someone tell me the benefits of an investor having a real estate license???

[James Triano]

@Ethan Cooke @Joshua Lane

Downsides:

1.  License education - this takes anywhere from 60 hours - 120 hours of education depending on where you live.  This not only costs money in courses but also costs you time.  Time you could otherwise be spending analyzing/finding deals.

2.  Brokerage legal requirements - becoming licensed means you operate under a completely different set of regulatory requirements than the average investor

3. Continuous expenses - most likely monthly expenses paid to your broker in the form of advertising, technology, desk fees, E&O insurance, etc.

4.  Paperwork - you're now in the details of transactions and working through the scheduling of inspections, scheduling closings, writing contracts, preparing documents, etc.  This is time you could otherwise be using to find deals

It may sound like I am against having your RE license as an investor but I believe the pros outweigh the cons in my situation.  It gives you great flexibility and can provide you with a financial benefit if you do enough deals and are okay with keeping up on continuing education.