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All Forum Posts by: Francis Choi

Francis Choi has started 1 posts and replied 6 times.

Quote from @Account Closed:
Quote from @Francis Choi:

I am a first time home buyer, and I am on track on obtaining my RE agent license by end of this year. I am planning to purchase a home in the suburbs in the first half of 2024, and to represent myself on the first purchase.

The instructor for the real estate class recommended me to refer my first deal instead of working it myself, but I am hesitant to do so because I would have to give away 80% to 90% of the commission. Another option is to work with a mentor, where I have to give up 20-30% of the commission, but I am not sure what value can a mentor bring considering I have been studying the market that I want to buy for past year and have a good grasp on the type of property that I am looking for.

I have spent hundreds of hours so far in real estate education & investing and am fairly confident that I can handle the transaction myself. But I wanted to hear from experienced member in this forum about the risks of representing myself in the first transaction, as well as any advise. Thank you so much!

Also I'm an Army veteran and planning to use VA loan for the first house as well if that helps.

There are only a few things, valuable to be sure, but a limited number that an agent brings to the table in a transaction.

One is the time it takes to find the right property. Another is getting the contract signed. Most states have uniform contracts so there isn't much work in that.

Another is negotiating the price and terms. Then it gets sent off to Escrow.

The lender orders the appraiser, the buyer orders the inspection. The agent is there to see to it that things don't fall apart. If there is only one agent, you can bet they will pick up the slack to be the transaction closes.

So, if you can find the right house on your own, which you probably can, and if you are already an agent, you will have the contract. So, basically negotiating price and terms without getting emotional is the key element. I'd make the offer, and then keep in touch with the seller's agent to make sure things move along. No need for an agent on my side.

One other thing, VA loans have inspection reqirements for the property to pass financing. Make sure the seller's agent knows it a VA loan so they are prepared to fix a couple of things and so that isn't a last minute surprise.


I agree with you that after a deal is found, as long as I understand the process, timeline, and follow them with due diligence it shouldn't be too complicated. 

I tried looking up on the Internet about common mistakes that new agents make, and vast majority of them are practice related such as communicating with clients and sticking to deadlines. There isn't much warning related to transaction process itself, which is why I am skeptical when I hear people say how an inexperienced agent can unintentionally screw up a transaction and end up with a huge penalty or even jail time.

Also thank you for the tip on the VA loan!

Quote from @Russell Brazil:

Well theres the benefit of learning and practicing on your own deals, so when you **** up youre only hurting yourself and not a client.

But you should absolutely not be looking at brokerages based on a high split with little support when you are learning. You screw up certain things and you can end up with fines in the tens of thousands and criminal charges. When you're licensed, "I didnt know that" will not be a viable defense. Once you're licensed the government will presume you to be an expert in real estate and you will be presumed to know every law and regulation.


 Thank you for the reply. Could you provide some examples of mistakes that newbies make in their early transactions? 

Quote from @Joe Homs:

@Francis Choi thank you for your service.  There are brokerages in California that are 100% commission based, but look for the one that will give you 100% support.  

You will need to become a member of the board of realtors to gain access to the MLS and Zipforms (ability to write contracts.) Once you find your property and get it into escrow, you can hire a TC (Transaction Coordinator) to assist you with all the paperwork. It's not as difficult as other agents might indicate.

Good Investing...



Thank you for the reply. I wasn't aware of Transaction Coordinators and I will definitely look into it!

Do you happened to have any recommendations for investor friendly brokerage in California?

Thank you for the reply. I wasn't aware of Transaction Coordinators and I will definitely look into it!

Do you happened to have any recommendations for investor friendly brokerage in California? 

Thank you for the reply.

When it comes to brokerage selection, I am at another conundrum because I have a full time career, and at the moment I only plan to represent myself and do a deal once every year or so. So I cannot justify paying large chunks of my commission plus hundreds in yearly fee to be part of a more reputable brokerage. 

So I am leaning towards more boutique and investor friendly ones that charge low to no fees and allow me to keep most of my commission (such as this one https://www.reebroker.com/), but I understand that I won't get much support from them either. 

I am considering to pay a handsome hourly rate to an experienced agent in my area for the mentorship sessions, but not sure how feasible that is either. Any advise would be appreciated. Thanks!

I am a first time home buyer, and I am on track on obtaining my RE agent license by end of this year. I am planning to purchase a home in the suburbs in the first half of 2024, and to represent myself on the first purchase.

The instructor for the real estate class recommended me to refer my first deal instead of working it myself, but I am hesitant to do so because I would have to give away 80% to 90% of the commission. Another option is to work with a mentor, where I have to give up 20-30% of the commission, but I am not sure what value can a mentor bring considering I have been studying the market that I want to buy for past year and have a good grasp on the type of property that I am looking for.

I have spent hundreds of hours so far in real estate education & investing and am fairly confident that I can handle the transaction myself. But I wanted to hear from experienced member in this forum about the risks of representing myself in the first transaction, as well as any advise. Thank you so much!

Also I'm an Army veteran and planning to use VA loan for the first house as well if that helps.