Wholesaling to becoming a RE agent

[Jeffrey Mark]

Hello Everyone,

I have been wholesaling in the Maryland and DC area for the past year. However, my partner and I are interested in getting our real estate licenses in Maryland and DC. We would love to represent buyers we have worked with already and also gain access to the MLS. We would also still like to keep our wholesaling business going.

What are the pros and cons of being a full time RE agent and wholesaler?

[Jessica Swingle]

Hi @Jeffrey Mark

I currently wholesale in VA where I am also a licensed agent. For me, direct access to the MLS (and other resources & training available only to licensed professionals) is alone worth the cost of holding my license.

Also, it provides me the opportunity to work with buyers and sellers in a fiduciary capacity if I want to (which sounds like you are interested in doing) and get compensated for listing referrals I make to my agent partners (on houses I cannot wholesale) and other buyer referrals I come across. One referral alone could make up for the cost of obtaining your license (I'm not sure about MD & DC but VA was about $500 for online education and exam fees).

Some people say when they disclose they are licensed it weakens a potential deal or sellers are scared off because they think you want to list their house, not buy it. For me, I always disclose I am licensed but assure them I am interested in buying their house, not listing it (if that is my intent). If anything, understanding the retail side of the industry adds to your credibility and I haven't found it to be a liability at all.

Of course, it all depends on what your business model is and I'm sure others have had different experiences.

My 2 cents...your license will open doors for you, not close them.

Good luck.