All Forum Posts by: Jorge Zea

For this you (or whoever is showing, advertising and/or showings the property) will need a Real Estate License in almost all (or ALL) states. These functions, when performed for compensation, are considered  Real Estate Activities and are restricted to Real Estate Licensee only.  Most states consider the performance of Real Estate activities without a license a misdemeanor and in some states it is a felony.

There are many Real Estate Brokerages that already do this for absentee owners. You have to find a cheaper one. Or one that charges a flat fee. Remember that commissions are negotiable and not set by law. I suggest you negotiate with your current agent or look for a new one that does it at your target price.

The secret is to get on the MLS ... os offering a buyer's agent commission will be a must to exponentially work with all Realtors' buyers. Do not hire a Listing agent (that is 3% directly from your equity but calculated from the total sales price .. hence it has HUGE impact on your COC).

To get on the MLS hire a Flat Fee (AKA Entry Only) service ...just Google these terms. Make sure you deal with a broker licensed in your state and make sure that he(she) will be the listing agent for the property so you have control and communication. NEVER use referral services that sell your info to a Broker to list the property. Deal with the Broker directly.

Door appears just to be a discount Real Estate Company. 

A real Flat fee MLS listing company will charge somewhere around $99-$500 (depending on the company) and offer no service whatsoever to the seller who will offer a commission to buyer agents and performs the tasks of the listing agent.

In my opinion this is the best format for BP investors, Most of people here are able to handle a showing, negotiation, review documents and understand them and close a deal. they don't need a Listing Agent.

Google Flat Fee MLS and you will find some good reputable local (licensed in your state) companies that will provide the service for you. make sure you deal with the State Licensed Broker directly and NEVER with a third party referral service. Unfortunately we are not licensed in TX and can't help you with this listing. we don't provide the service there.

95% of the properties (aprox) sell through a buyer's agent through MLS. The secret is to have exposure to the MLS but cutting off a listing agent's side of the commission.

Just google for Flat Fee MLS Listing and you should get at least a couple of good licensed Brokers that charge a flat fee ($99 to $500 depending on the company) to just list the property in the MLS for you (you must offer compensation to the buyer's agent though ... traditionally 3% but it is up to you to decide what is your best strategy - this becomes part of your marketing mix).

That is the best of both worlds: Maximum exposure with syndication to Zillow, realtor.com, Trulia, Redfin en the likes, the power of the MLS (exponentially offering your property to all buyer's agents clients and potential buyers). An you will take control of the deal, showings, negotiations, etc (you will make the work of a listing agent and save that part of the commission).

Unfortunately we are not licensed in NJ, so can't help you with it.

Make sure you deal directly with a Broker licensed in your state and NEVER with a referral service that will sell your information to someone else.

Good luck!! You can do it and once you do it once, you will don it many more times. We have wholesalers in our areas that list 3-4 properties a week and are very successful. 

Dear @Robin L.: Just do a Flat Fee MLS listing.

Google and you will find good reputable local Brokers that do Flat Fee Listings for $99 to $500. The secret is getting the property onto the MLS and offering a good commission to buyer's agent. Whatever is normal in your area.

Make sure the company is a licensed Broker in your state and not a referral service. Licenses should be listed on the website. Call the company, email them. Make sure they a reputable and have reviews (real reviews ... and many).

Always use a real Estate Attorney in all transaction.

You are all set: show the property, deal with buyers, (it appears that you are experienced). 

The system is proven, it works, it saves seller a lot of money.

@Account Closed; quick question: how do you advertise these properties? do you list them in the MLS for a quick sale? Do you use a Flat Fee Service?

@Doug P. is exactly correct.

It is a Realtor training phrase: "The average FSBO home sells for less than the average MLS home". This is just inaccurate because of what is pointed out. Experienced seller should be OK with a Flat Fee listing and will save a lot of money. The system is not for everyone as @Russell Brazil states. some inexperienced seller will need a listing agent to guide them. Nevertheless the BPO Pro members should have the experience to go Flat Fee rout.

Commissions kill the cash on cash of the investment. And if there is financial leverage, it is even worst. Remember that commission are calculated from the sale price while they are paid from the owner's equity. Do some numbers and you will see the effect of a 3% commission on a leveraged property. the impact on Cash on Cash is exponential depending on leverage.

Flat Fee listing all the way. use a good reputable local broker (no referral services as most out there). No your homework.

There a cheaper alternatives out there that offer this flat-fee listings service.

ongoing fees can get expensive if the property takes longer to sell. It is not a real flat fee listing what listingspark offers ... it is burden on the seller and a cash-on-cash killer. It is impossible to project a profit with variables like this. Google for Flat Fee MLS in your area. You should find good reputable companies at or around $150 for 6 months. This is the way to go.

Furthermore make sure that company is licensed in your state - double check their licenses.

@Julie Feng - you are correct. 

Nevertheless be very careful on who you hire to do it. These services you list might be just resellers that will get your information and resell it to a local broker. You might loose control. Not sure in NY, but in some states it is illegal to solicit listings without having a RE License. make sure the service that you use is directly by a Real estate Brokerage (or Broker) licensed within your state. ask for license information and license number. Direct Brokers tend to be very professional, they know what they are doing and you can, most of the time, talk to them on the phone. 

Unfortunately I am not licensed in NY. But for sure you will find a good professional reputable flat fee broker that you can work with.

This is the way to go for people that know what they are doing (it is not for everyone). MOst BP PROs are knowledgeable enough to do it just fine.

Good luck!

If this is your primary residence (homesteaded property) I suggest waiting until after the 2 year mark to get tax free capital gain (tax free is the sweetest gift of them all). You can close on it 2 years and 1 day after you bought it. If you sell beforehand you might get hit with capital gain tax. I am not an accountant or an attorney so double check my advice. Consult your accountant on this one.

I don't see the market going anywhere soon in Boca ... I think it will be stable for the next 1-2 years with normal 3-5 appreciation and interest rates will most probably rise .... but slowly.

I would suggest refinancing - cash out and get the equity to start your flips going .- Interest on your mortgage will be tax deductible - Suggest reading AMANDA HAN's books. She contributes to BP big time and is a CPA doing only Real Estate Investors.