I still don’t know. I have heard differing opinions. After this post, I just heard of a successful investor who does have his license and has a borkerage. He is at the stage where a manager handles most of the brokerage daily responsibilities, so it takes modest amounts of his time. Then he can focus more energy on his investments. Yes, it would be difficult to do both at the same time, I agree, it’s like putting the cart before the horse. Which comes first?
And as I am developing my business strategies, I am finding that it is possible to do both given the proper split and motivation. You can have cake and eat it too. You simply first have to mix the ingredients, bake it etc…
“$10-20K is a decent refrigerator for the property (in other words, chump change).” Actually, it’s more like all new appliances for a 10-20 unit apartment complex which could result in an increase of 5% of rents or reduction in maintenance which could then increase your cap rate considerably which then increases your property value dramatically providing a greater return on your initial investment.
Not looking for somebody to shoot holes in the questions. Looking for sound advice from people who may have something constructive to formulate my decisions upon. Or may have experience one way or another. For example, I have not found a need for it in my case, because I buy foreclosures and flip. Or I have found a need because of my particular strategy…this would be very helpful.
I have heard that having your license can establish more credibility, as long as when working with a realtor on an investment that you establish a non-competition relationship. Also regarding “higher legal standards and more liability” legally you are held accountable regardless, right? So that shouldn’t matter anyway, as well as if you are doing business ethically it should hold true then too.
I wouldn’t have to FSBO and disclose I am a REALTOR, I could list with a REALTOR friend, correct?
As a landlord, if you held the property in an LLC, then isn’t the LLC the landlord and not necessarily the individually licensed agent?
I am still on the fence on this one, but as I learn more, I am thinking maybe it isn’t as bad as an idea as I initially thought.