Author Topic: Side Hustle or Full-Time Business?  (Read 2385 times)

YTProphet

  • Stubble
  • **
  • Posts: 228
Side Hustle or Full-Time Business?
« on: January 14, 2015, 09:11:58 AM »
(I realize this could go in the real estate category, but it's more general than that so I'm putting it here)

I'm in the midwest (not a major city) and currently make $125k-$145k, depending. So I've got a good job and don't need a side hustle. However, I enjoy doing real estate transactions and and I have good experience in the field. Long story shorrt, I recently obtained my brokers license (not salespersons license). I set up an LLC for it, so now I can hire salespeople if I want. In the opinion of this band of smart Mustachians, what's the best way to monetize that credential? I've been thinking of doing flat fee listings for family/friends/neighbors. However, with my day job, I don't want to be burning the midnight oil doing comp searches or pay the $200-$400/month that it'd cost to have broker access to the MLS. Thoughts?


caliq

  • Pencil Stache
  • ****
  • Posts: 675
Re: Side Hustle or Full-Time Business?
« Reply #1 on: January 14, 2015, 09:27:18 AM »
I don't know a lot about real estate but do brokers have to attend closings and such?  Can you leave your regular job in the middle of the day for something like that?

I also don't think you would be doing much of a service to clients if you didn't provide them appropriate listing prices on their house (comp searches) or put their listings on MLS?

Annf

  • Guest
Re: Side Hustle or Full-Time Business?
« Reply #2 on: January 14, 2015, 10:06:25 AM »
I'd get into the referral business. Let all your family and friends know you are a broker and can find them a great agent anywhere in he world. Agree to whatever percent you want for a referral fee from the agent you are referring to. I do 25%. The trick is to determine how the referral fee is paid. For example, in one market I do a lot of referral business I get a percent of the agents (not brokers) commission so I refer to a 100% agent. He's good too. In another market they pay m off the top of th brokers commission so it doesn't matter to me who gets my referral business as long as they are good.

You'd still have to determine local laws. You might have to be part of the MLS to get a referral. You could look into hanging your license with a local broker but they usually want part of your commission. I do this and they took 10% but then I don't have to worry about any of the paperwork,etc. so essentially you don't do anything except refer. Interview a few agents and see who clicks with you and how they do business. I like to be kept in the loop to ensure my friends are being taken care of. If you don't know a local realtor, find a CRS. They are typically very good and have taken lots of customer service classes.


 

Wow, a phone plan for fifteen bucks!