Real Estate License for Investing Only — Worth Keeping and How to Make It Work?

Question

I’m a licensed agent, but I’m not interested in working with traditional buyer or seller clients. My main goal is to build a rental portfolio. For those of you in a similar position — is it still worth keeping your license? How do you generate income from your license while focusing mostly on investing?

Jonathan Taylor Smith · Answer

@Rodria Mays - I got my license in between purchasing my first and second investment properties - and I did it at the time almost exclusively because I wanted to get paid as my own buyer's agent (also for education and greater access / tools). But as my unit count grew, I did start to perform as an agent for other investors and I also added property management as a service. In both cases it wasn't too hard to start doing for others what I had become great at doing for myself. I also started doing BPO's and property inspection reports for pay, which took me to places I might not have otherwise gone - greatly increasing my market knowledge.

Drew Sygit · Answer

You can make your own offers and get 3% commission instead of paying it to another agent.

You can also learn to use the MLS to find deals. I you don't know how, DM us for a chat!

Marcus Auerbach · Answer

After 7 years as an unlicensed investor, I finally got licensed in 2015. The first thing after I passed the test was to my surprise that I knew absolutley nothing useful. So I joined a team and worked as a buyers agent to learn the ropes.

Once you have closed 10 deals you start feeling more confident about yourself, but after 100 you realize how much of a rookie you have been with 10. The value of a real estate agent is in their experience. Today I own a team and coach agents, so I have a little more perspective.

Here is my question for you: as an investor looking for an agent, would you hire yourself based on your experience? Or would you feel that is too risky?

Nadeem Alamgir · Answer

One of the biggest advantages of being an agent is how much it helps you as an investor.

Caleb Brown · Answer

Others gave great tips. Use the MLS to find deals, run comps on off market deals you find, learn about different pockets. As you grow your portfolio you can network which can lead to helping other investors.

Joseph Tadres · Answer

I’m in the same spot, licensed agent and active investor, and I’d say keep the license. It saves me commission on my own buys, gives first shot at MLS deals, and I earn easy referral fees on leads I don’t work. The CE and dues are minor compared to the access and savings you get.

Rodria Mays · Answer

Thank you for replying! I will keep this in mind.

Real Estate License for Investing Only — Worth Keeping and How to Make It Work?

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