Okay, so I'm thinking ahead here. I'll hopefully be in the market to purchase either a condo or a house towards the end of this year. I expect to have my real estate license (and have that as my career) by the end of summer.

Is it okay (or even legal) to represent myself as a buyer and receive the commission on a purchase?
Does it matter if it's a house or a condo?
Does it make a difference if my wife was to make the purchase?

What I'm thinking here is that I could take care of some of my upfront first-year expenses if this is something that is not frowned upon.

Thanks for all your help and tips. I really do appreciate it.

I have purchased and sold many properties and always receive/pay a commission

If you make the purchase you have the option to collect a commission or, if the seller allows it, to reduce the purchase price by the commission.
Your wife can't collect the commission since she is not an agent, however, if you represent her, you can gift your commission toward her downpayment with the lenders/sellers permission.

Thanks for the great information. It helps a lot.

Does it work the same whether it's a house or a condo? Or a New Condo? Sorry if this is a stupid question, I've just not seen anything yet in my studies on how commission works with condos.

Thanks again.

Usually doesn't matter if it is a home or condo BUT IF IT IS A FORECLOSURE some investors/banks won't pay a commission if the buyer is an agent.

You also have to disclose that your are hold real estate license. You also have to disclose your license if you represent a family member.

Sure you can! Make sure to disclose on listing you are the Owner and let your Managing Broker know about the transaction as well.

Good luck!

Thanks--Mario

Great information. Thanks a lot. Most likely it will be my wife making the purchase (before we immigrated, we had perfect or near perfect credit records, but it didn't matter when we moved here, we had to start fresh and she has a longer and more thorough credit history, so most likely it will be she who makes the purchase) and I will represent her. I will make full disclosure to all involved. I'm glad to see it's possible and I'm happy to receive the great help on these forums. All the best to you and yours. I'll be back again. Thanks.

I suggest you buy as a principle, disclose your status, and reduce the selling price by the commission amount.

Why pay income tax on it now as ordinary income, that is what I have my agents do. They just explain to the seller your broker would be receiving x in commission but with the co-operation of the listing office and you I would like to handle it this way because...

Seller nets the same. Listing office gets the same. Why not? Unless your broker is the greedy type and wants his split.

Absolutely true, however, if it's your only real estate income for the year and you want to write off expenses, I'd check with an accountant of what's acceptable.

Whats this tax thing you people speak of?

Hit or miss sometimes when trying to collect on your own properties and would probably depend on your state laws and such (not sure of some of their regulatory behaviors etc) but you can definitely collect on properties, where allowed and the type of sale deems it.

I'd recommend having another agent represent you on short sales. Some banks won't pay buyer agent commission if they're the buyer.

Income tax, if you collect a commission. If the commission is credited toward the downpayment, some builders issue a 1099.

Also, if there is no real estate income, the IRS might say there are no expenses.

Whoa...if he is representing the buyer (his wife) or representing himself - who is paying him the commission? It's the Listing Agent who is "cooperating" their commission to him since he is bringing the buyer (wife or himself). His Broker gets paid and THEN he gets paid by his Broker. Think about it guys.

My broker doesn't see a dime of that commission, I get paid at closing. My broker doesn't provide a 1099 each year, because he doesn't keep track of my annual income. I pay $300 per transaction, that's all.
It all depends on individual circumstances, one size doesn't fit all.

I don't know that it's so much "individual circumstances" versus what the r.e. rules and regs are in your state. Mine, the commission goes through the Broker - everything belongs to the Broker. Really interesting how things are different in other states.