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Updated over 2 years ago on . Most recent reply

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Maximiliano Rodriguez
  • El Paso, TX
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Transitioning from Real Estate Agent to RE Agent and investor

Maximiliano Rodriguez
  • El Paso, TX
Posted

Currently I am Real Estate agent however I would like to transition as Real Estate Agent and investor. I do not know how to manage my situation with my broker in regards to leads management and its commissions. 

Can somebody provide some insight about how to transition correctly?

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Bruce Lynn#1 Real Estate Agent Contributor
  • Real Estate Broker
  • Coppell, TX
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Bruce Lynn#1 Real Estate Agent Contributor
  • Real Estate Broker
  • Coppell, TX
Replied

What does becoming an investor mean to you?

Do you mean wholesaler or a flipper?   That is not an investor.  That's real work of a transitional nature.

Do you mean you want to buy, hold, and rent?  That's an investor.   No reason you can't do both and build your fortune.

Talk to your broker about it.  See what they have to say.   Maybe you can be the guy in your office who offers every agent a cash buy option.  So if you have the cash and willing to close, you are the guy who steps in and makes cash offer on every property they intend to list.  Win-Win for you, the other agents, the broker, and the seller.

Now if you want to play games like a lot of wholesalers who don't have money to close, then your broker may not want to sponsor you if you are going to contract on deals and not perform if you can flip the contract to someone that does. It also opens your brokerage to liability because what you are telling the seller is "sell it to me for X" and within 10-15-30 days you are going to sell it to someone else for Y and take the difference.  Remember you have a fiduciary duty to the seller to put their interest above your own.   So if it is worth Y or more, why didn't you just list it and sell it for that and let the seller take the profit vs you taking just your commission.

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