I became a Real Estate Agent 7 months ago to help me along my Real Estate Investing journey but I find that being a Real Estate Agent is not a passion of mine. I'm passionate about becoming a Real Estate Investor. I've been learning a lot that could help me as an investor but I'm not really interested in helping others buy and sell. Any ideas on how I can be an investor but still have the benefits of being an agent such as my own access to the MLS? Also I'm wondering if I leave the brokerage would that hinder me from being able to purchase deals through the MLS and getting commission for it for being the buyer who is representing myself? Or purchasing deals through the MLS by myself in general?
@Adonis Eugene Yancey
You can go to a broker that is 100% commission, they usually have higher monthly fees though. But as a real estate agent, you need to hang your license with a broker, you can't be solo unless you yourself are a broker. As for the MLS access, being an agent is probably the best if you NEED it, or you can find another agent to help you get access...
Every individual listing that is in the MLS is also listed at realtor.com, so don't let that tie you to MLS membership fees or brokerage hassles just for that.
The opportunity of being a realtor is that as a business it requires less capital outlay than real estate investment, so it can be a good lead-in for people who aren't cash rich to transition from a 9 to 5 job into full time real estate. Although, because it does require investment (about $25k in fees, software, services, and marketing to be successful), and requires a more sales-oriented mindset, it's definitely not for everyone.
If you're not passionate about it, don't do it.
But you need some kind of high paying work to fund your real estate investment passion. Find something you love, find something that pays extremely well, kill it in that field and let real estate investing be your hobby or side hustle.
Real estate investing is typically not a cheap hobby. Probably as expensive is the top other hobbies.
One thing you have to work into it is, how much do you need monthly to live. How many $200/month cash flowing properties do you need to fund that. Let's say for example you need $4000/month to live the life you want to live. Then you 20 properties that cash flow at least $200/month. Maybe more when you account for repairs, vacancy, etc....but that's a rough start.
Typically you'll need 20% down for every property you buy, unless you move every year, then maybe you can get by with 3-5% down. You live in the house, finance it with owner/occupant financing, fix it up while you are there and then do it again next year. It's a slow process, but I've seen lots of people use this strategy. Multi-Millionaire real estate investor, friend and neighbor of mine just passed away and said she moved 27 times in her 50 year marriage. The last house they were in about 25 years or more, so you can imagine when they were young, how often they moved.
Lots of ways to get there...but it is typically a slow process, not overnight and not one you do with no money.
Real estate sales is NOT a passion, it's a tool.
Once you see it this way it will become clear.
10 years ago I wrote my real estate license
Like you, I wanted access to the deals, I wanted to be able to lob **** balls at sellers..
But the truth is.. I wrote the license because I couldn't trust the agent I was working with.
For the first few years, it was hard,
For Example; one of my best friends growing up listed his house with some agent he didn't even know.
The irony was... I actually ended up being the one who sold his house.
The rollercoaster ride was hard to stomach.
I often found myself…
- Spending hours on end in a dead open house in the heat of summer while my kids are at the beach.
- Wasting my time. Trekking through the weather only to have a client text me minutes before the showing, saying its too snowy
After I just drove past her house.
Giving out gobs of free information
There is no passion selling real estate.
But as much as I hate it I love what it has done for me and realized It’s part of the business.
When you find out what part works for you and stick with it you’ll see the business has so much opportunity.
I’ve used my license as a tool to grow my portfolio.
It was the only way I could find money to fund another deal.
Just like any other trade, a real estate investor has many tools.
Your real estate license is one of them.