Flipping with a license

**Kacy.bondurant** · 01-10-2008, 10:10 AM

Should I get my real estate license if I want to buy run down places and resale them? Flip them? My parents have successfully flipped 3 houses and financed a lake lot which they hope to retire to. I am thinking I will have the inside scoop on new listings and potention flips and then I can sell them myself instead of paying out the commition. Is this an ethical practice?

**Codythebest** · 01-10-2008, 10:38 AM

Your business will be easier without a license. Otherwise, it's no problem. Make sure you disclose your licensing to all parties. You will also leave some money to your broker. If you are at, let's say, 60%-40%, 40% will go to your broker. You may negociate with him/her though...

**Jim** · 01-10-2008, 05:36 PM

Originally Posted by Codythebest

Your business will be easier without a license. Otherwise, it's no problem. Make sure you disclose your licensing to all parties. You will also leave some money to your broker. If you are at, let's say, 60%-40%, 40% will go to your broker. You may negociate with him/her though...

This would help you save on commissions when you sell. Even after your split with your broker.

Some brokers will offer you special deals when you sell your own house.

**rama1** · 01-11-2008, 10:47 AM

It all depends on your goals overall. If you want just flipping houses, you could do it without RE license, ig you are planning to practice real estate in the future -- the answer is obvious, you should get the RE license.

**Codythebest** · 01-11-2008, 05:47 PM

Originally Posted by Jim

This would help you save on commissions when you sell. Even after your split with your broker.

Some brokers will offer you special deals when you sell your own house.

My broker won't take any money from my primary residence but will from my investments...

**krolfe** · 01-16-2008, 04:06 PM

It's a personal decision, but keep in mind that you will be the one doing the work to get it sold. If you budget for the commissions up front and a property still meets what you're looking profit wise then it's still worth it even without the license. I would recommend flipping a couple houses first and then possibly getting your license.

**flhousesuk** · 01-19-2008, 09:59 AM

Yes do it! But disclose!

Good Luck

**Orlando MLS** · 01-19-2008, 10:18 AM

Provided you are an honest person, by all means it is a great benefit to have your license. If you are going to use questionable investment strategies - don't become licensed.

Example, you'll get yourself in a lot of trouble if you don't disclose your license status. Also, if you plan on doing wholesale flips and other assignable contrat type deals - you may want to stay un licensed.

The best flippers do deals that work for everyone involved - the buyer the seller and you the investor.

**bpolist** · 01-23-2008, 08:24 PM

with your license you can get paid on homes u buy and sell. also you can run into other buyers or seller you can help and get paid.

**Orlando MLS** · 01-23-2008, 08:40 PM

That's a really great point. It's always nice to earn an income on your investments. That way you can live off your commissions instead of pulling equity out of your investments. A really nice thing to be able to do for a licensed person.