I am new to the site and pretty much to the industry. I wanted to know how does being a licensed agent affect birdogging or wholesaling? I know about the disclosures i have to make by letting everyone involved know i am an agent, but are there other conflicts i may not know about?
In Cali there are restrictions against certain types of referral fees, etc.? Anyone have any experience with this, I’d like to know before I get too involved.
Howdy Jay-SoCal:
The only pitfalls I remember are where you “steal” a property and the owners come back to get some of their share claiming you had superior knowledge of the market as a licensed agent. They would not have much of a case if you were not an agent. This is one of the reasons for disclosure but I am not sure the disclosure will keep the wolves away
LOL
Let’s say you are a licensed Real Estate Agent and you decide to sell one of your properties.
You tell a perspective buyer “The schools in this district are better than the schools in the XYZ district.”
You just violated the law. Stupid right?
This is in Nevada. They got RE Agents so locked up it is pathetic. You have to be very careful of what you say. I wouldn’t become one for all the tea in China.
thanks, I had a feeling i needed to be extra careful
I’m an agent too. Where is there a law that says you cannot invest/flip/wholesale because you have a license? What you have to do is DISCLOSE to the seller that you have a real estate license. Because you have a license you have to be ethical and honest in your dealings with the public because you are considered a real estate professional.
Also you cannot collect a commission on your own investments. Licensed agents can be considered to take unfair advantage of homeowners because we allegedly know more about the real estate business. Equity Skimming is illegal and you cannot cheat some poor helpless person out of their home. Just be honest and follow the rules. 8)
“Also you cannot collect a commission on your own investments.”
Could you explain further please? What state are you in? Our last purchase…we used what would be the selling office commission to lower the sales price…totally legal.
I’d say despite what some of the Agent antagonist say here…having a license puts you on the fast track. It becomes your business–from the time you wake up till the time you go to bed. You’ll see more opportunity than you have either time or money for. And you’ll have more tools than you’ll ever use (including a legal staff at your beck-and-call).
The key to staying out of trouble is; follow the rules & disclose, disclose, disclose.
Agents make considerably more than they did 10 years ago depsite some comments in another thread to the contrary. I work with a number of millionaire’s myself.
-Infowell