All Forum Posts by: Marc Nicolàs Mariano

You aren't calculating the split with your brokerage. If you are new and go to a big-box brokerage you will only get 60% of your commission and you also would only be allowed a certain number of personal transactions allowed (bigger brokerages usually one a year). So, in short, if you are only getting your license to list and buy your own houses, that's not where the value is. When you list your own house as an inexperienced agent (and possibly flipper), you won't know what you are doing. When you sell a place and are new to the business, your best move is to get the best agents in the area and take a referral back. I list homes for my agents and give them back 50% because I have the experience and know how to deal with the agents and some of them don't like that part.

Hi Jonathan, thank you for your wisdom.

I actually yes, I calculated the slipt with my brokerage, not at 60/40 but at 70/30%, good to know the 60/40.

My plan would be to work initially with an agent and split the commission of the purchase, so I can gain the experience of buying my own home with the support of a current agent. After I gain the experience, I would be more ready to do this with less and less support.

What I am reading from you is that you work with brokers who will pass onto you 50% of the commission they make from buying or selling one of your properties.

Eg: Buying a property of 400k, would translate into 10k of commission for the buying agent.

This means my buyer agent will only get 5k and will need to split it with his managing broker at 60/40.This is just 3k of commission for the agent.

I question how much effort on selling my property will an experienced agent put into, just for 3k.

Regards

Marc

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Hello,

I am at the end of my real estate course, targetting to do the exam in the first week of November.

My plan is to become a real estate agent while I keep my full-time job so I can buy my primary home and get the commissions. Furthermore, I currently own a rental property that in the case things start becoming bad in the near future and I have to sell it, I would have more buffer to play on pricing as I would not need to pay commissions to a selling broker.

Also, looking to purchase another investment property within the next 12 months. This is the quick math I put together:

Buying my own home = 400k = 10k in buying commissions.
Selling my rental property = 300k = 9k in commissions for the selling broker (I account I would need to pay 7k in commissions to the buyer's agent)
Buying another investment property = 8k in commissions.

Assuming I would split my earned commissions with my future managing broker, in the 70/30 ratio, it means I would earn 19.000$ in commissions just with my own deals.

I would appreciate any advice or suggestions on this strategy, it seems too good to be true and most likely I'm missing something.

Will I be able to get into a broker company just to buy my own houses, or I am going to be asked to bring more deals?

Thank you

Marc

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Same here, I would be down to meet! where can we find the details of the locatio, time etc?

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Vancouver, Washington

Originally posted by @AJ Shepard:

@Marc Nicolàs Mariano

That doesn’t seem like the right mindset. There are deals out there, it just takes a lot of work to find them. But ya, the pickings can be slim for sure if you’re expecting something to just pop up in front of you.

We just bought a condo from a wholesaler, 165k, don’t have to do anything to it. Sell for 220k. We’ll see how it goes.

It's not about the right mindset, it's about the deals that one is able to find. In the MLS, I'm not finding good deals lately, here some recent examples of what I thought could be good opportunities, but price-wars end up raising the price so much that I lost any interest.

ARV 300 - Asking 229, SOLD for 250k cash 3b1b h ttps://www.zillow.com/homes/8...

ARV 340 - Asking 280, SOLD for 300k https://www.zillow.com/homedet...

With these tight margins, it only makes sense if you pay in cash or are willing to not make much profit. In my case, I don't need flips for living, so I'm okay by not purchasing properties if there's not a large buffer.

If you have some wholesalers that have properties in the Vancouver area, please send me the contacts! I'm currently looking for a property for me :)

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Nothing in Portland, even from wholesalers offers can go 10k above asking for fixers, and there's barely any profit unless you go 100% cash.

Example of a recent case for me:

Price: 270k

ARV: 350k

Repairs: 30K

Financing & Holding 10k

Selling 15k

Profit = 25k.

Not worth for me being at the peak of the market and while I have a job.

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Originally posted by @Cole Pavlina:

What did you do in the shower? I did tile in the shower on my most recent renovation and it was 3x harder than I thought it would be, took 4x longer, and cost 5x more - but it sure looks amazing! However, I'm not sure I'd ever do it again. Curious how you approached the shower.

Hi Cole, I installed a PVC standing shower, so no tiling. Very easy installation and not expensive!

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Originally posted by @Lashonda Reese:

@Marc Nicolàs Mariano

Thank you so much for this information. I'm a new REI and looking to start my first fix/flip within the next 9 months. I hope to find a great deal like yourself and do some of my own remodeling. May i ask if you had a timeline scheduled for each part of the house? If so, how did you determine how long it will take for each section?

Thanks

Renee

Hi Renee,

I had a series of things I wanted to get accomplished, but not specific deadlines. it was more the structure of the task.

1st walls, 2nd, trims, 3rd paint, 4th floor etc. I tried to get it done by steps, rather than doing several things at the same time. For my nex flip, I would approach with the same method, but if I ever do a larger flip with more money involved or several contractors I would totally then create a schedule plan.

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Originally posted by @Alexander F Pollock:

@Marc Nicolàs Mariano very cool post. Was a fun read. Looks great.

Thank you Alexander, I'm glad you enjoyed the reading.

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Originally posted by @Cole Pavlina:

Looks fantastic! It's hard to find a place that makes a profit in Camas, congrats!

Where did you find your deal at? Finding a place for $200k in Camas is a huge win. I have 1 place on Prune Hill but now I've moved more into the rest of Clark County as Camas comes with too much of a premium.

Thank you Cole! I found the deal in the rmls and reacted super quick with my realtor, I have not been able to see a house sold for 200k in a long time!.

I'm actually renting myself and looking to purchase into the rest of Clark County, but housing is so overpriced!

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Originally posted by @Carlos Cabrera:

Your post was awesome! Thank you so much for sharing. I noticed you installed the cabinets on top of the flooring, looks really good. What are your plans when replacing the flooring down the road? Will you replace the cabinets as well?

Hola Carlos,

Yes, I read and thought a lot about it. Overall it's recommended to install the cabinets and then the flooring around them, this supposedly allows the floor to expand and contract with temperature changes.

If I ever need to change the floor, yes, you would need to unscrew the cabinets, which is not a big deal. BTW, this floor is meant to last 20 years.

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All Forum Posts by: Marc Nicolàs Mariano

Marc Nicolàs Mariano has started 6 posts and replied 18 times.

Post: Buying and Selling my own houses.

Post: Buying and Selling my own houses.

Post: Local Meetup in Vancouver, WA

Post: How are YOU Finding Deals In This Market

Post: How are YOU Finding Deals In This Market

Post: My first house and remodel - Before and After - Camas House

Post: My first house and remodel - Before and After - Camas House

Post: My first house and remodel - Before and After - Camas House

Post: My first house and remodel - Before and After - Camas House

Post: My first house and remodel - Before and After - Camas House