- Direct access to potential deals.
As a licensed real estate agent, you don’t have to depend on anyone else to provide you with information when a property hits the market. You gain access to the Multiple Listing Service (MLS), which gives you historical data and comparables so you immediately have background information on a potential deal. The MLS also offers information you won’t find on popular home sites like Zillow, Trulia and Redfin, including the types of homes selling most frequently.
- Experience with real estate professionals.
Being a licensed real estate agent gives you access to work with your areas most knowledgeable and skilled agents and brokers. Partner with the industry experts to use their tips and tricks. They also have the ability to help you network with other market professionals like surveyors, reliable lenders, and appraisers.
- Keep the commission.
You no longer have to shell out money to another real estate agent when you act on your own behalf. You’ll receive a portion of the commission when you buy or sell a property. If the total commission on a $100,000 property is 6 percent, your office splits the payout with the selling agent. If you have a 50/50 split with your office, you’ll profit $1,500. If you flip the property and sell it for $200,000, you’ll earn another $3,000 commission.
- Have more control in your deals.
When you’re the agent, you can take more control over your real estate investment deals. Selling your own properties gives you more control to accept only the terms you want, like cash terms or a lease-purchase deal. You work directly with all parties involved in the deal. From the appraiser to the closing lawyer, you no longer need a middle man to complete your deals.
- Expand your knowledge of the real estate market.
The benefits of being a real estate agent for investing go beyond the commission payouts. The required education to become a licensed agent allows you to expand your knowledge of negotiation skills, writing contracts, market trends, and how to advertise your properties. Understanding more aspects of the real estate market will help you successfully expand your portfolio.
As a real estate agent, you understand the market’s trends and can make moves based on anticipated changes in the industry.