All Forum Posts by: Kelvin Letron Brantley

After 4 months of class and testing, I finally just received my SC real estate license.

Are there are any potential ethical dilemmas to negotiating with a seller for a wholesale price on their property within the state you are licensed?  In other words, would it be an ethical conflict to negotiate a wholesale price vs working with the seller to get them as much as they would be able to get for the property.

Also is it required to disclose to a seller that you are a licensed agent if you are working a deal in a state that is not your license state?

Thanks for any assistance.

Letron

Hello BP Family,

I just started a position at a wealth management firm. Now I'm told by my compliance department that I CAN be licensed as a real estate agent, but I can't have any active listings. Not only that, I have to have my real estate investing activity approved by the compliance department. I just started the new position and it's one that I have been searching for a long time with great salary, benefits, and pension (which is unheard of these days). I had always planned to do my real estate activity on the side as additional income to assist in building my retirement and help pay for my kids college expenses. I also wanted to get my license to gain access to the MLS and be able to participate in certain transactions that I would normally not be able to as an unlicensed investor.

My question is: 

Is there anyone else in this type of situation where you are working with a company that prohibits certain real estate transaction activity?  If so, what are ways you are using your license while investing part-time?  Will I be able to find a company to hang my license with if I'm not able to list homes for a seller?

I realize that there may be few people here in the BiggerPockets family that fit this category, but if you are dealing with this yourself, or if you know of anyone going through this, I would greatly appreciate any input you could provide.

Thanks!

Thanks @Jonathan Greene.  I passed a lead to this agent because the seller wasn't motivated enough for a discount sale, but was interested in closer to a retail sale.  Instead of just putting those leads in followup in hopes that they would change their minds in 2-5 years, I figured I would pass to an agent to facilitate a retail sale and maybe get a "kick back".  But I definitely agree that I want to be a great investor friendly agent and bring them deals, but it would be nice to build relationships with wholesalers / non-agents that will pass leads onto me if they can't get the seller to budge on price.  

This is not an agent bashing question because I'm currently in school to become one myself, but I do have a question.  I had an agent tell me that if I pass a lead on to them, they can only give me a referral fee if I'm a licensed agent.  I was a little bummed to hear that because I was thinking that if I want to work with other investors when I'm licensed, will I not be able to pay them referral fees for bringing me leads?  Maybe we haven't gotten to that portion of my class yet as I'm only in week 2.  

Any insight would be greatly appreciated.

Letron

When wholesaling distressed properties, the idea is to get the property at deep discount 50%-70%. However, what if the property is rented and in decent livable condition?  The owner is a landlord just looking to get out.  Not highly motivated but looking for serious offers.  What would be a good strategy for these types of properties?  I have one I'm working on now.  I just gathered some basic information, but haven't presented him with an offer yet.

Thanks in advance for any insight.
Letron

Anyone have any creative ideas to be able to offer reasonable 2%-5% down payment to seller but not have to come out of pocket. I hear people say to put it on a credit card or borrow funds, but can it be done at closing when you have a qualified tenant-buyer secured?

Any caveats to why you wouldn’t just do it at closing always?

Thanks

I entered into a contract with seller and found a buyer and contracted with him. Now that I’m submitting my paperwork to the attorney I can’t get in touch with the seller to fill out seller information sheet for attorney. I think that the seller is having second thoughts about the sale. I know that I can sue for breach of contract but my questions are: 1. For a property less than $50k is it worth it? it will be a $7k assignment fee to me. I REALLY would like the $7k but I dont want to spend $5000 in attorney fees to get it. 2. When do I do this? Before or after contract expires. 3. i did not fill out an affidavit to cloud the title. I’m thinking about sending a bird dog out to the property to deliver the paperwork from the attorney. I marketed the property pretty heavily and I’m wondering if another investor contacted him and is trying to take the deal out from under me. Is there anything I can do to save this deal? Thanks! Letron

Thanks @Chris Mason and @Joel Thompson. Looking for lending options that won't affect my credit. That makes sense if it is a deal with low LTV.

Are there any private funding sources that focus more on the deal than personal credit? Any firm suggestions would be greatly appreciated. Thanks, Letron

I have a seller in Florence, SC that I pitched Subject To.  They are interested, but it's outside of my local area.  Is there anyone in Florence interested in picking up a subject to property?