Rob is correct and a man after my own heart on this issue… I too became a Realtor to help my Investing grow… It was indeed easy access to the MLS as well as Easier access to look at properties and if you are flipping even easier to show them to potential buyers from you… Anyway I did have a few problems with being a realtor and an Investor… If you are flipping properties as a realtor you can be sued by the seller down the road… The seller will claim I trusted you and you told me that the house was only worth X amount and here you sold it for this…etc. I know it sounds pretty bad but i have seen it done… Also you are licensed by your state as a professional in the Real Estate Sales Industry so they will probably lean toward the one time homeowner being taken advantage of so be careful… I will throw you another situation I myself came across… I was with a company that said that even If i purchase a property that wasnt listed I had to give them a 7% commission because I was employed by them… So my way around that was I bought them under my wifes name…hahhahaa… Anyway I wound up letting my license expire because it was becoming a conflict of interest for me… I also had to disclose on ever offer I am a licensed real estate agent and bla bla bla… I do highly recommend becoming a realtor if you are just starting out htough because it enables you to learn much more and alot quicker as well as helps you build a cirle of influence in the Real Estate Industry…You know what this Post has Inspired me to put a post up about Investing and becoming a Realtor so thats where I am off to now… Look for it…
Douglas Timko notes4sale@yahoo.com
Posted by Matt B on December 14, 1998 at 08:55:21:
I have been discussing real estate investing with my fiance, and she has proposed an idea. She asked me if I thought that it would be a good idea for her to become a real estate agent. I would think that this would be helpful to our real estate investing future. What I would like to know is what is involved in becoming a real estate agent? Is there a certain amount of schooling, then commitment to work at a brokerage? I am completely unfamiliar with the process, so I would appreciate any information that anyone could give me. I have seen, every now and then, free real estate classes offered by agencies in the area. Is this for certification to become an agent? I would think that would be the easiest way to get into it. I would appreciate any input that anyone could provide.
Re: question on becoming RE agent - Posted by Rob FL
Posted by Rob FL on December 14, 1998 at 18:57:58:
This may not be true of all states.
The general requirements for licensing are this. You take a class and then pass a state test. You ar now a licensed salesperson. You intern under a broker for period of time. Then you may take a class and pass another state test to become a broker.
The only reason I got my license was (1) easy access into the MLS and (2) easy to show properties (to myself) without the seller’s agent present.
Re: question on becoming RE agent - Posted by John (KS)
Posted by John (KS) on December 14, 1998 at 09:29:04:
Hey Matt, how is your flipping coming? Let me know more about what you think about LeGrands Course.
Last week in the classifieds, there was an advertisement for a principles of real estate course hosted by our local board of Realtors. I called for more info. For $160 they are offering a 30hr. course which goes 4 days, Thurs.-Sun., which upon completion I will receive a certificate that will entitle me to take the Realtor’s Examination. After passing the test, I have 4 month’s to get a job with a firm as a realtor or I have to take the test again. I checked into becoming a realtor a few years back and then, couldn’t afford it. The Realtor I spoke with pays alot of money out of his pocket for advertising (all the postcards you get in the mail, all the yard signs, all newpaper ads, etc.), and also for alot of stuff on their own. It is like being in business for yourself with no guaranteed paycheck. You just get a job with a Realtor firm and pay them, I think half of your 7%, to use their name. This is just the info I have compiled for my area. It may be different in other areas. Talk to some realtors in your area.
I think I will take the class, but I don’t think I will get my liscense. Good Luck
Re: question on becoming RE agent - Posted by Matt B
Posted by Matt B on December 14, 1998 at 10:11:44:
John,
The flipping is starting to build momentum. I have found many resources for getting information on properties to do deals on. I made one call this weekend after gathering information on a fire damaged property. After determining what I could offer and allow enough room for a profit, I called the owner. Unfortunately, they had a high mortgage balance and hardly any equity. However, I have many other prospects that I am gathering information on, and am still very excited. I bought a fax machine over the weekend to look a little more professional when requesting information from realtors and such. I had my fiance go to the courthouse to track down who we need to contact to get a list of condemned houses in our county. She got the person’s number, and we should be getting the list faxed to us today. (Here’s a hint for getting information from these county and state offices… SEND A GIRL! Doesn’t matter if she doesn’t know all that you do about the information that you need, they will bend over backwards to give her all the information that they have! That code enforcement guy was very quick in giving his number to give him a call when her fax machine was hooked up!) I am using comps on the first house to determine value on a couple of other houses in the neighborhood. I will be putting offers together on them shortly. Ron LeGrand’s course has been AWESOME in helping me to get going. It covered so much of this business in such great detail, I don’t have any questions unanswered. He includes scripts for all the calls that you need to make and receive, ads pre-written for you to place, and all necessary forms. It is an excellent course. I have to give it 3 out of 4 stars. (The 4th comes when I complete my first deal.) He does not “push” his other courses or products at you, and focuses in on wholesaling and lease options. He tells you EXACTLY what to do and look for, and what to avoid. He is very precise and thorough.
I will search the newspaper for those real estate classes ads on Sunday, and I’ll have my fiance call some realtors today.