Multiple Real Estate Licenses?

Question

Hi everyone, I’ve been lurking in these forums for a while and I finally have a topic I couldn’t find a lot of information on.

I’m soon to be a licensed agent in Minnesota and I know there exists the possibility to obtain licenses in several states, but I’m curious about the actual logistics of operating in more than one state. Any information would be super helpful, and I’d love to reach out to anyone who would be willing to answer further questions.

Thanks!

Russell Brazil · Answer

This is very state specific, as each state has different requirements. Im licensed in 18  states.

If you are a salesperson (Im a broker), you will need to be with a broker that is in each of those states, or be with different brokers. As a salesperson, this can be costly, as most brokers will require you to be a member of their local MLS and local Realtor association. Since I am a broker, I am a member of a few MLS's and a few Realtor associations where I regularly do business, but Im under no obligation to join them in each state.

Bruce Lynn · Answer

One thing you also have to think about, is potentially you have to learn the contracts for each state where you are licensed.  Also you have a fiduciary duty to be knowledgeable and competent on what you are selling.   We just passed some new laws in Texas about this.   I can tell you while I am licensed for the whole state of Texas and we use the same contracts, I'm probably not competent enough to sell in places like El Paso, or Del Rio, or Amarillo.   I have no clue as to the school districts, or imaginary borders, or where the next military base will be built or will close, or 1000 other things you need to know to be a great agent and represent other people.

Russell Brazil · Answer

Youll need to hire agents to do your showings.

Marian Huish · Answer

Happy to have a conversation with your @Daniel Vikhtinski… Anything is possible, it’s just a matter of how much time, effort and money you want to put into it!  😉

David M. · Answer

@Daniel Vikhtinski

Or, you just go and do the showing... :)  Some people are licensed in two/three states because they live on the border.  Or, look at something like RI where you easliy could be licensed in three states.

As stated, the main issue with getting licenses is where to hang them, since it starts to get expensive quickly.  Also, why do you want them?  You could hang them with a referral Broker, but then youcouldn't do active real estate in that State.  But, sounds like you aren't physically there so it'd only be good if you planned or could potentially be relcoating there one day...

Good luck.

Tim Swierczek · Answer

Hey Daniel, I don't know the answer to your question, but I believe that each state will be different. You will need a broker who is licensed in each state you want to get licensed in. I would ask the brokers you are considering joining and see what they say. @Ryan Luthi works for eXp and he would be a good guy to connect with.

Marian Huish · Answer

Why do you intend to get licensed in multiple states @Daniel Vikhtinski?  Please keep in mind that this will become very costly as you'll be paying for the pre-licensing courses, exams, continuing education requirements, and joining muliple state and local associations.  I'm licensed in 4 states, however, in hindsight, I would recommend not doing so unless you live in/own properties in the states where you are licensed.  Rather, you can simply refer prospective buyers & sellers to agents licensed in other states and take a referral fee simply (generally 25% give or take) for connecting leads with the right agent.  Many agents make a good living simply by working referrals!

Daniel Vikhtinski · Answer

Thank you for the insight @Marian Huish ! I wasn’t really planning on obtaining multiple licenses, I was more so interested in how that entire process works as I’ve heard a lot of agents say that they’re licensed in multiple states and I was curious how that’s even possible.

Multiple Real Estate Licenses?

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