What Can You Do With a Real Estate License?

13 Replies

Quick Question,

I've been doing some research and can't seem to find the answer I'm looking for. For example if i were to take the real estate license coarse in NH (the 40hrs of class time) and take the test what will I be able to use that license for. I understand this is different from the brokers license. Can I get MLS access and be able to visit properties without having another agent there. If someone could break this down for me that would be greatly appreciated.

Thank You. 

OK I will take a shot at it.

if NW is like most states.. you will need to hang your license with a brokerage.. and the brokerage usually requires you to join the local BOR and you sign up for and JOIN MLS.

At that point you get your MLS supra key or whatever lock box system they use there and then you simply look up listings there will be showing instructions on there that the listing agent loads in.. and you follow the instructions.. On real high end homes for example sometimes the listing agent requires their presense.. in low end vacant fixers listing agent usually does not want to have anything to do with showing the property.

So at the bottom of the listing were it has showing instructions it will be.

1. go any time

2. call first

3. only show these hours.

4. owner or agent must be present.

5. appointment only

etc etc.

@Richard Villandry  

And I forgot  #7

Please put the pit bull in the garage when showing.. then let my baby back in !!...

showing homes around animal requsts can be difficult.. IE don't let the cat out.. Some realtors are afraid of fido.. etc etc.

What he said^^^^

I would add, to consider the licensing fees involved. After the cost of the course, you will still have to pay annually for the MLS, NAR dues, and whatever broker desk fees (depends on your broker). I would estimate my costs around 2500 annually.

Oh, and that Supra key costs 15/mth too.

@Kevin Delaney  

  at least you know I know what a supra key is   :)

You only learn about the Supra Key from experience.  It's not on the test.  I had my license before I ever heard the name.  First time I came across one, I was showing a house and had no idea how it opened.  Talk about looking green in front of a client. lol

@Richard Villandry  

Hi Richard. Getting a real estate license will be of benefit to you as an investor far beyond the obvious ability to gain access to the MLS and the use of a Supra key. As a licensee, you can choose to join a brokerage that provides training and further increase your knowledge about contracts and transactions. Additionally, you can use your license to build your own business and increase your credibility in the market of your choice. There as so many ways you can leverage the power of a real estate license in your investment business.

Best  wishes to your success moving forward. 

I too I'm interested in obtaining my real estate license, mainly for my own personal investment.  I love working at my current job but I'm aware of my short comings in real estate.  How do I gain knowledge without feeling overwhelmed by my 9-5

As a realtor is Texas I also have access to accurate comps, not Zillow estimates.  Texas is a non-disclosure state so actual closed prices can not be disclosed on sites like Zillow, Trulia, etc.

@Richard Villandry - There are definitely many costs associated with MLS access, board dues, continuing education, etc. I would strongly consider hanging your license with a 100% commission broker or at least a broker with a lower commission split that doesn't charge outrageous desk fees/dues to keep those costs down. You will not only get full MLS access and unsupervised showings, but you will also keep at least 3% on each side of your transactions, which should more than pay for your agent costs.

@Udy Ekanem  - you may look for a real estate team or mentor (who understands your intentions/goals in real estate) that will offer training. Usually these are going to come with an expense in the form of a larger portion of your commissions.

as @Eric Thomson mentioned, one of the best benefits of having your license is when you want to buy or sell something for yourself. For example, bought something for $100k, put my own personal name down as the buyer's agent. Buyer's name was my own personal LLC. At closing I will get $3k (minus any commission split with my broker) as a credit towards the funds I have to bring to closing. In the end that worked out to be $2500 or so that I didn't have to pay just by having my license and acting as my own buyer's agent. And that was just one deal. If you plan on buying multiple properties over time you can see how this could be quite beneficial. Not to mention only having to pay 2.5-3% as a commission when selling your own property vs the 5-6% you would have to pay to sell a property on MLS if you weren't licensed.

And then there are the commissions you can earn just by acting as a buyer's or seller's agent for friends and family, even if you don't want to become a full time real estate agent. 

The only "downfall" I have found to having my license are the costs to maintain an active license, and the actual time it took to get the license that I could have spent doing something else. But I still found that time and those costs WELL worth it in the end. 

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