I was thinking about getting a realty license but I am concerned about what effect it will have on my ability to invest myself.

Anyone have any input? Ups and Downs of the situation?

Well, if you're purchasing properties listed by other agents you can at least get some of the commission back...or negotiate a lower price in lieu of the buyer side commission split.

If you join the local board of realtors you will have access to the MLS and the private data which is nice.

you can hunt down old properties that never sold and see if they want to sell...

Hi Perky.

I am a big believer in barter. And alot of the time I can easily get a realtor to help me with the MLS when I post a barter on Craigslist in exchange for graphic design, or seo services.

The commission issue may be nice, but currently I work on getting realtors to take commission payments, or the seller to pay the commissions entirely as part of the deal.

Many, but not all, REO sellers expressly state in their listing documents that they will not pay a commission for the selling side of the transaction if the selling agent is the purchaser.

Then it doesn't sound like you need to get a license.

I wasn't sure if I should or not. I have the basics covered if I need them. I just thought the added income from being an agent would be nice.

That's what all the investors think.Work your rehabs and make your money and make other people work to bring you the deals your time will be better spent.

Looking at being a real estate agent as a source of "added income" is probably not a good idea.

Being a real estate agent is a great source of SPENDING money...fees, continuing ed, business expenses. It's probably not a good "side job". Some people do very well at it from a part time perspective but many don't.

If what you're doing now works, I wouldn't rock the boat.

Like someone already stated, many REO/Short Sale banks will not pay a licensed agent if they are also the buyer. So if you went and obtained your license, made an offer on a foreclosure, it is highly likely that you won't get paid a commission. Many contracts ask if the buyer is a licensed agent or not. You would be better off buying properties that are not foreclosed or short sales if you wanted to make sure you were paid your commission.

While you'll have access to MLS as licensed, it's a big plus. However, you will have to disclose everything into a deal, which will give limits to the way of making money, obviously...

I started into real estate for just spending money as I farm about 7 or 8 months of the year. And I made pretty good spending money doing it part time. Way better then I could every year going and finding a 8-5 job I would hate for a few months. I just worked my sphere some and didn't waste money on extra advertising and such things. So I think you can get into real estate for the added income. If you go to an office with low office fees then it can be done. I still do Real Estate basically part time, but now own my own company and my income from real estate is somewhat approaching the level of income I get from farming. So don't let anyone tell you that doing it part time and making just some added income can't be done. And while it's true on foreclosures that you might not get paid a commission in some ways it might be better to make a lower offer and not get paid or offer it as closing costs. Sometimes I would rather not get paid the commission as I would have to pay taxes on that commission.

That's the big one. You will always have to disclose that you are licensed. It is assumed that you have an avantage over someone not licensed, and hence need to warn them.

Ok. I think it's best for me to just stay without a license. Thanks for the tips.

Just a quick note, it depends on the state laws whether you need to disclose your license. In California there is no case law or statute that requires it. Only the rules of the Association which does effect your membership but not your license.