Investor · Austin, TX · Member since 2021 · 9k+ posts · 5k+ votes
3y
There are so many benefits to being licensed and investing. 3% commission, MLS access, network access with your brokerage. Those who tell you being licensed is a liability are probably not used to conducting ethical business.
Investor · Atlanta, GA · Member since 2014 · 378 posts · 82 votes
12y
@Clara Mayberry - it's pretty simple. Here are my assumptions:
You have thoroughly studied your market;
You have a clear understanding of your buying criteria;
You can prove this knowledge to a Realtor.
Then, to find deals immediately (without investing the time/money for direct mail campaigns, etc to find leads), then I Realtors are definitely the way to go.
Especially if the agent knows what s/he is doing and understand the market well. They can sometimes be a very good source for deals.
An example of a deal we just purchased in Atlanta:
Purchase price: $210,000 New construction cost: $235,000 ARV: $735,000 Time frame to project completion: < 9 months Expected time to sell once complete: < 30 days
That was sent to us from our Realtor. And did I mind paying him? Absolutely not.
Rental Property Investor · Brandon, SD · Member since 2015 · 1k+ posts · 1k+ votes
3y
@Clara Mayberry I assume you are planning on investing and wondering whether to use an agent or not. Let me know if you are considering becoming an agent because that changes my answers. I'll stick to the pros:
Independent: You aren't dependent on someone else for leads. You can negotiate a lower price when buying because the seller isn't paying a buyer's commission. You cut out one person in the telephone chain when dealing. You don't have to tell people up front you are an agent.
Real estate agent: Leads are sent to you without any effort on your part. You'll pay more for the deals that come from the MLS. The agent has a lot of knowledge and hopefully experience that can benefit you.
Rental Property Investor · Brandon, SD · Member since 2015 · 1k+ posts · 1k+ votes
3y
@Matt Ellis:
This is governed by state law and may vary in your state. Generally the real estate license allows state-wide practice, so a broker or associate can represent you even if not practicing in your county. This might be less advisable, because this person might not know as much about your area, but it's possible.
Investor & Agent · Tulsa, OK · Member since 2016 · 1k+ posts · 1k+ votes
3y
I don’t see these as compartmentalized opposites. Being an agent “under a broker” doesn’t mean Jack-didily in terms of revenue generation… that is 100000% the responsibility of the individual agent. It’s not too different being an investor either. Both require some initiative and a certain “you eat what you kill” mindset, combined with yes a willingness to network and be open to new relationships, connections, and being inter-dependent in your market.
Investor · Austin, TX · Member since 2021 · 9k+ posts · 5k+ votes
3y
There are so many benefits to being licensed and investing. 3% commission, MLS access, network access with your brokerage. Those who tell you being licensed is a liability are probably not used to conducting ethical business.