Real Estate Agent · Austin, TX · Member since 2015 · 12 posts · 10 votes
I know there's a lot of grey areas for real estate agents when it comes to doing non-traditional real estate deals. My brokerage is very investor friendly so I have the green light to use every strategy out there. My question is when it comes down to me sending out direct mail to properties I have personal interest in, what must I disclose? My brokerage name? The fact I'm a "Realtor"? What if I'm to leave a simple yellow letter on someones front door? Can I disclose the fact I'm a real estate agent as soon as the prospect calls me?
Wholesaler · Fort Worth, TX · Member since 2010 · 1k+ posts · 1k+ votes
10y
Austin is more strict than other areas. Bear in mind that what bites many licensees in the butt is that their letters often end up in the hands of other agents and brokers....who then look you up, find that you're licensed and wonder why the hell you're contacting their clients.
I've seen it happen in Austin more than anywhere else in the U.S. Said agent or broker then contacts your broker and complains, with the inevitable threat to file a complaint against your license if it happens again.
So....disclose. Say something like: "while I am a licensed Agent, I am as interested in buying your house as I am in listing it" (if that's true)...and end it with something like "if your home is currently listed, please have your Agent call me".
Not only does that allow you to head off claims of poaching, but who knows? Maybe you could still work a deal or help bring a buyer for the Agent. Adding people to your network is rarely a bad idea.
Real Estate Professional · West Palm Beach, FL · Member since 2012 · 23k+ posts · 13k+ votes
10y
You need to know your state laws (not the Realtor rules). Some states require disclosure at first contact of any kind, some "prior to any substantive negotiations".
Wholesaler · Fort Worth, TX · Member since 2010 · 1k+ posts · 1k+ votes
10y
Austin is more strict than other areas. Bear in mind that what bites many licensees in the butt is that their letters often end up in the hands of other agents and brokers....who then look you up, find that you're licensed and wonder why the hell you're contacting their clients.
I've seen it happen in Austin more than anywhere else in the U.S. Said agent or broker then contacts your broker and complains, with the inevitable threat to file a complaint against your license if it happens again.
So....disclose. Say something like: "while I am a licensed Agent, I am as interested in buying your house as I am in listing it" (if that's true)...and end it with something like "if your home is currently listed, please have your Agent call me".
Not only does that allow you to head off claims of poaching, but who knows? Maybe you could still work a deal or help bring a buyer for the Agent. Adding people to your network is rarely a bad idea.
Real Estate Agent/Property Management · Houston, TX · Member since 2014 · 1k+ posts · 827 votes
10y
In Texas you must disclose your status as a real estate agent in any advertising. Direct mail or placing a brochure on the door would count as advertising. You must also disclose the name of your broker.
China, ME · Member since 2014 · 3k+ posts · 4k+ votes
10y
State laws vary, but in Massachusetts, we must disclose that we're licensed. I do it with every communication, just to be safe.
As to inadvertently contacting someone in a mass mailing who is already represented by another agent, I simply add a disclaimer - "please disregard this letter if you are currently represented by a licensed real estate agent". Your state rules may vary.
In a NON mass mailing, I check MLS to see if the property is listed. In my state, you cannot contact a listing that is active, contingent, under agreement or withdrawn. You CAN contact expired, canceled, not on the market at all and of course, FSBOs.