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Updated almost 8 years ago on . Most recent reply

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49
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Jake Adams
  • Investor
  • Fort Collins, CO
16
Votes |
49
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Any rehabbers that are licensed? Need brokerage advice

Jake Adams
  • Investor
  • Fort Collins, CO
Posted

I am a licensed agent in Colorado and regularly flip houses, in fact it is the primary focus of my business. My current brokerage wants to take a split of my commissions on deals that I wholesale (on market). For instance, if I find a deal that is listed on the MLS for a $10K commission and I wholesale it to another investor, the brokerage wants to take a 30% split on that commission ($3K).

I am not okay with this since I am the one making that deal happen, it just happens to be listed on the MLS. I have an option to go with a cheap brokerage ($250 or $300 per transaction), but I really do like my current brokerage except for this new issue.

I am looking for advice on what other arrangements active rehabbers that are also licensed have as part of a deal with their brokerage...

Thanks!

Most Popular Reply

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17,995
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17,205
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J Scott
  • Investor
  • Sarasota, FL
17,205
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17,995
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J Scott
  • Investor
  • Sarasota, FL
ModeratorReplied

Sounds like a pretty simple decision:  If you can't get your broker to change his policies, you either need to pay the commission or move to a different brokerage.  

We have always worked under a broker that charges a flat fee (or no fee) per transaction.

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