NAR Settlement- More or Less reason for an investor to get Licensed as an agent

NAR Settlement- More or Less reason for an investor to get Licensed as an agent

Member since 2024 · 16 posts · 4 votes

Brand new investor here. In my search to find my first deal, I have grown increasingly frustrated with the hassle of having to use an agent to schedule showings, especially when I want to coordinate with contractors or other specialists. I have thought about getting my Real Estate Agent License, and am wondering if the NAR Settlement makes it more or less attractive. I do not have much interest in working as an agent for others, but see the benefit of having access to the MLS and the ability to schedule showings. I understand the costs associated being an Agent (I actually took a course and passed the licensing exam a few years ago, but never did anything with it as I started a new career as a Firefighter).

I am currently doing all of the work in analyzing deals and researching properties, I'm just curious if the new environment makes more or less sense to get licensed.

Any insights are helpful!

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Russell BrazilBusiness Member
Moderator
Real Estate Agent · Washington, D.C. · Member since 2012 · 17k+ posts · 30k+ votes
2y
Quote from @Eli Moore:

@Russell Brazil Thanks for the information! What kind of prices are Buying agents going to be charging for their services?


 You'll see cost of agents rise about 20% over the next 3 years. (20% of what they currently charge, not 20% of sales price)

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  • Russell BrazilBusiness Member
    Moderator
    Real Estate Agent · Washington, D.C. · Member since 2012 · 17k+ posts · 30k+ votes
    2y

    Cost of e&o insurance, mls access, association dues, and electronic key access are on the verge of rising dramatically. As agent count drops, the cost of these items has to increase to offset the drop. 

    I'm literally involved in pricing 3 of those items and we are already discussing how much we are raising fees on them.

  • Member since 2024 · 16 posts · 4 votes
    2y

    @Russell Brazil Any insights on how much fees will go up?

  • Russell BrazilBusiness Member
    Moderator
    Real Estate Agent · Washington, D.C. · Member since 2012 · 17k+ posts · 30k+ votes
    2y
    Quote from @Eli Moore:

    @Russell Brazil Any insights on how much fees will go up?


    I'm budgeting double for e&o insurance. The others (outside of national dues) possibly 50%. 

    National dues could see a raise in the multiples, or come with a special assessment of an extra $500. Expect new members for several years as well to pay that special assessment. (Plus an increase in dues)

  • Member since 2024 · 16 posts · 4 votes
    2y

    @Russell Brazil Thanks for the information! What kind of prices are Buying agents going to be charging for their services?

  • Russell BrazilBusiness Member
    Moderator
    Real Estate Agent · Washington, D.C. · Member since 2012 · 17k+ posts · 30k+ votes
    2y
    Quote from @Eli Moore:

    @Russell Brazil Thanks for the information! What kind of prices are Buying agents going to be charging for their services?


     You'll see cost of agents rise about 20% over the next 3 years. (20% of what they currently charge, not 20% of sales price)

  • Nicholas L.Pro Member
    Flipper/Rehabber · Pittsburgh · Member since 2018 · 6k+ posts · 5k+ votes
    2y

    @Eli Moore

    I don't think it makes any sense to become an agent just to do your own showings... you should only become an agent if you want to be an agent.

    It sounds like you just need to find an agent that's a little more flexible / responsive / used to working with investors.

    And - a lot of the best deals for investors aren't even on market.  But definitely as you're starting continue to look at both (off and on.)

  • Member since 2024 · 16 posts · 4 votes
    2y

    @Nicholas L.

    Thank you for your insight!

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