Agent and Investor? Spreading myself too thin?

Question

Hi! My husband and I invested in our first rental early 2021. I soon after decided to get my real estate license, more so, for ourselves as we continue invest. I quickly dove into the industry and am working with several buyers. I am continually gravitating toward the larger investments and off-market-deals. Can I be successful selling houses while building a investment portfolio, with partners, on off market pre foreclosure deals? Should I stick to one thing?

Matthew Irish-Jones · Answer

@Katelyn Atcavage robideaux I started as an investor 12 years ago, now own 46 units, manage 400, and our brokerage is projected to do close to $30,000,000 this year. We also have a fully staffed construction team with 4 teams working 40 hours a week and booked out for 3-6 weeks per team.

Yes it’s possible… depending on how much you are willing to sacrifice

Aaron Bress · Answer

The nice thing about being a RE agent/investor is that you are AROUND real estate all the time. The more you do the more you learn. Before we were agents, things felt a lot more overwhelming and no one really wanted to help or have serious discussions unless we had an agent. Now that we are agents, we have a network and a vision to build our portfolio locally as well as help others win in this market. My opinion is if you want to be actively involved in REI, then find a way to be "working" in the market. It will not only help you but others as well!

Mike Dymski · Answer

Absolutely, most of us have jobs, real estate portfolios, and busy families.

Jon Kelly · Answer

@Katelyn Atcavage robideaux this is a personal decision. As you can see from other responses it's certainly possible to do both and a lot of people do. It can be a very powerful thing if you can do both.

Make sure you focus on what's most important to you. Before getting caught up in the day-to-day chaos that can occur you need to take a step back and define what will make you happy.

Eliott Elias · Answer

I believe your personal investing enhances your agent business and vise versa. Investor clients love to see that their agent is knowledgeable and invest themselves. Whether you are looking a deals for clients or yourself you are essentially becoming an expert in your market and will be able to identify every deal available.

Nolan Gottlieb · Answer

If you're ready to make being an agent a career, then I'd say go for it. If you're doing it to save on a commission of a flip you're doing a couple times a year, then I'd say no.

Being a successful agent is very hard work!!! You have to lead generate like crazy, drive all over the place for showings and appointments, become an expert in your local market, practice your scripts and role play, pay for gas, pay for board dues, etc...and this is with NO GUARANTEED PAYCHECK! Most new agents don't make it, because they don't understand what is involved.

If you're just doing it to get deals on market before anyone else, it's a definite no (in my opinion). As a buyer, you don't have to pay commission anyways. I'd advise to find a really good, seasoned, experienced agent and let them do the hard stuff.

I'm both an agent and investor. The more I get into it, the more I spend most of my time investing. My time investment has a WAYYYYYY better return as an investor vs. an agent. After all, being an agent is a job...rental income is passive income that pays as long as you own the property.

BP Podcast Episode 530

Ryan Kramer · Answer

@Katelyn Atcavage robideaux Hi Katelyn! I'm a Broker/Owner and love training new agents.  Just signed one up today.   If you were more seasoned at both,  I think you would be able to balance both,  but I do believe your main focus should be on one or the other since you are new at both.   The good news is that becoming a better Broker will only benefit you in your investing career.   I would focus on the sales and growing your database, systems and network in Real Estate that will be able to help fund and find the opportunities to invest as you move forward.

Agent and Investor? Spreading myself too thin?

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