Think Twice – Before You Get Licensed
Never did I think I would obtain my license to do Real Estate even though I bought my first investment property in 2000. After doing a few Rich Dad, Poor Dad courses in 2014, I was convinced getting licensed was not a necessity and the reality is, it is not. I did seven profitable transactions before deciding to go through the arduous process of becoming a Realtor.
The main reason I do real estate is to access recurring, passive income. Property Management facilitates that type of income and unfortunately, at least in Texas, requires a license.
Cumbersome and overkill of rules and regulations describes the process to become licensed. There are two tests (national and state) one must take and nearly 40% don’t pass the first time. Plan to spend about $4k to obtain your license between courses, prep and the actual licensing process. Even after all that, one cannot just go out and earn income. A Realtor MUST be subjected (forced is a better choice of words) to work under a broker who naturally takes a cut of any revenue generated.
So here is my advice. DON’T become licensed unless you absolutely have to. You can do just about anything a Realtor can do except for property management without all the hassle of the prep work and having to share your hard-earned commission with someone who has more experience than you.
TREC # 752970