By Mike Baird
As a real estate investor, searching for leads, making deals, rehabbing properties, and flipping houses, you have a lot on your plate. I’ve mentioned before that getting your real estate license and becoming an agent is a good idea if you want to be a full-time flipper. That said, getting your license requires a lot of time and energy, and it includes some on-going costs to maintain your license, as well.
So, if you’re not planning on getting a license or you’re just in the beginning stages of studying and getting licensed, you can definitely benefit from working with a great real estate agent. Let’s talk about how the right agent can help your real estate business thrive and grow from the beginning
They Can Help You Find Leads
First, your real estate agent is paid on commission. That means they only make money when they find leads that turn into deals or when they sell your flips. It is in your real estate agent’s best interest to keep your lead funnel full and to help you find as many deals flipping houses as possible. The more deals you have going and the more they overlap the more often your agent will be taking home a paycheck.
They Have Connections in the Industry
Next, if you choose a real estate agent who has experience working with investors, you’re likely to be just one or two steps away from finding the rest of your real estate team. Realtors who work with investors flipping houses are connected with real estate attorneys, CPAs, brokers, and other real estate professionals you’ll want to get to know as you start your real estate business.
You may even be able to get good recommendations on contractors and materials suppliers from the right agent, though I’d generally let them stick to the buying and selling side of the process. A good real estate agent can help you find the people to make up your team and grow your business as you make more deals on more properties.
They Have Access to the MLS
The MLS is a hugely useful tool for real estate investors. It gives you access to comps in the area where you’re flipping, information about new listings, and it’s not open to the public. Because your realtor has access to the MLS, they can open up many doors for you and your real estate business.
You Can Learn From Them
And, if you’re thinking about getting your realtor’s license in the future, you can learn a great deal from your agent. Watch as they find deals. Pay attention to how they talk to motivated sellers. Learn from their negotiation techniques. The more closely you work with your realtor while you study to get your license, the more you’ll learn, and the more of a leg-up you’ll have on other new real estate agents when you get your license.
Do the Math Before You Get Your License
Finally, you may actually save money by using a real estate agent instead of getting your own license. If you’re a full-time flipper, like I said, you’ll probably do better in the long run with a real estate license, but if you’re flipping houses part time, it’s probably better to work with someone who’s experienced and already has their license. Typically, you need to spend time and money every year to maintain your license, after you take the time to study and pay to get it in the first place. So, even some full-time investors find that it pays more to focus on their part of the real estate business and to hire an agent to help with the buying and selling.