Should Real Estate Investors get a Real Estate License?

There are many benefits to having your California Real Estate License to add value to your real estate investment business. There are a lot of moving parts to flipping properties and becoming a successful real estate investor. It’s important to weigh your options and decipher what sort of return on investment you will see from your efforts and to determine where to drive those exertions. Many investors that don’t yet have their real estate license ask themselves if it is worth it.

Here are the benefits being a real estate investor and having your Real Estate License in CA:

i. Access to viewing more properties

a. Having your real estate license will give you the ability to physically view properties without the hassle of scheduling with a licensed agent. This will let you pencil in more properties on your own schedule, and in this business, time is money. This can give you the opportunity to preview and jump on deals much faster than if you have to wait on someone else to show you the property.

ii. List your properties on the MLS

a. Being a licensed real estate agent gives you the ability to view and list properties on the MLS without having to arrange a listing through an agent. This power ultimately gives you more control of your deals.

iii. Allows you to take commissions

a. Having your license allows to take commissions when you sell your properties! This income is in addition to the profit you make from the flip. Not only do you have more control over how and when you can view and list properties, but you also get to make commission.

iv. Gives you credibility

a. When you are a real estate investor, being a licensed realtor as well gives you the credibility in the eyes of buyers and sellers. Having any edge over the competition in such a competitive landscape is vital in growing your business.

v. More Networking Opportunities

a. You will be able to gain access to even more industry events and begin to network with other licensed professionals. This is important to distinguish yourself from more green or new real estate investors who may have not yet made a career out of flipping homes. Surrounding yourself with other business-minded peers will only lead to additional opportunities in this people-oriented business.

vi. You are more educated on legal matters

a. Having your license gives you the education and knowledge of real estate laws that are vital in understanding in order to avoid any potential and costly litigation. They say knowledge is power and in this case that certainly rings true.

While there are many convincing arguments for you should bite the bullet and get your license, that doesn’t mean that it makes sense for everyone. If you are already an established investor with many trusted realtor partners, then it may not make sense for you to spend the time and money obtaining your own license. Either way, it is a commitment but one that comes with many benefits.