Re: More questions about getting licsenced - Posted by David MacGown
Posted by David MacGown on April 12, 1999 at 08:28:31:
Gary, I think the issue depends on an individuals direction of aim in the field. I am going to try to answer this as accurately as possible,because I was criticized for this thread on another newsgroup. I should not have said “licence to steal” when refering to a builders licence. Yes there are a lot of legal restrictions on a brokerand for a good reason. they are there to protect the public. I would not chose a builders licence over a brokers licence because I could get away with more. The licence is constricting to me for other reasons.
I am a broadcasting student. My career will be in the entertainment field. This is my passion.
Real estate is an interest but is a hobby. It will not be my career,no matter how much money I make…
You have to do what you love. Real estate will give me the means to do what I always wanted to do but realistically is a tough business to make a living at…(acting) I don’t want to work as a broker or under one,because I simply want more control. I don’t want to be the employee. As a private invester you are paying their fees,so don’t let them walk over you. You write the rules.
But to answer your questions… Each state may have different laws,but in michigan you need a licence if:youintnd to collect a fee or compensation/if you sell more than 5 houses a year/devoting more than 15 hrs. per week in any 6 mo. period to the sale of r.e(who’s gonna know?)
Here are some reasons why I chose not to get licenced.
1.I feel I would be more productive having agents and brokers work for me as bird-dogs. You will have plenty of access to mls when you pay an agent 10% on closing for every lead. They know the market best,let them work for you,instead of an adversarial relationship with co-workers.
2.You must identify yourself as a broker when advertising(it can scare off some prospects)
3.a salesperson can only advertise under their own name if selling their principal residence.all other r.e in which you have an interest and desire to advertise must be listed with a broker.
4.as a licenced builder there is no restrictions on how many properties you sell a year. With this licence you are exempt for broker licencing.(The real estate investers in the forbes 500 wealthiest all made their mark by devaloping.)