How to Actually Be a Real Estate Agent on the Side: A Comprehensive Guide

Positive Aspects of "How to Actually Be a Real Estate Agent on the Side":

Practical and Actionable Advice:

The guide provides practical advice on how to start your real estate journey while working another job. It offers clear instructions on how to manage your time effectively and make the most of your limited availability.

Step-by-Step Guidance:

This guide breaks down the process of becoming a real estate agent on the side into manageable steps. It covers everything from obtaining the necessary licenses to building a client base and closing deals.

Flexibility and Convenience:

Designed specifically for those who want to pursue real estate as a side gig, the guide offers flexible strategies that can be adapted to fit your schedule and availability. It recognizes the need for a work-life balance and provides tips on how to achieve it.

Insider Tips and

Using other people's money means not putting your own cash into a real estate deal. You can do this by borrowing money (debt) or selling a stake in a property (equity). Most investors buy real estate with hard money loans. But, a variety of other techniques exist to use other people's money.

Table of Contents

How to invest with other people's money?

There is a popular way to invest hands-on with friends without taking on the responsibility of an investment advisor—an investment club. Investment clubs consist of a group of people who vote to decide whether or not to buy or sell their group-owned investments.

How to use other peoples money to flip houses?

One additional way to flip a house without using your own money is to partner with house flipping investors. It is entirely possible that teaming up with someone that is already flipping houses can be your next best move, and there's no reason they couldn't provide you with the funding you need.

Can you invest in real estate with a friend?

Absolutely — it's possible to buy a house with a friend, or even with a group of friends. In fact, a 2022 survey by Realtor.com indicated that more than half of Americans would consider buying a primary residence with someone they are not married to, and 31 percent already have.

Can I buy a house with cash with my parents money?

Lenders generally won't allow you to use a cash gift from just anyone to get a mortgage. The money usually must come from a family member, such as a parent, grandparent or sibling. It's also generally acceptable to receive gifts from your spouse, domestic partner or significant other if you're engaged to be married.

How do you use one property to buy another?

Homeowners can tap into their equity by using a home equity loan, home equity line of credit or cash-out refinance. Many borrowers use equity to purchase a vacation home, rental property or second home.

i hope heaven has the gall to really HURT one of them in front of the other. i hope they scream each others’ names with desperation and horror so profound it blows out every light in the city. i hope one of the side characters dies trying to protect them.
— el ˚✦.🏡✶.✧̣̇˚ THE COTTAGE IS REAL (@cottagepirate) August 11, 2023

How does property leveraging work?

Leverage uses borrowed capital or debt to increase the potential return of an investment. In real estate, the most common way to leverage your investment is with your own money or through a mortgage. Leverage works to your advantage when real estate values rise, but it can also lead to losses if values decline.

Frequently Asked Questions

How do I avoid 20% down payment on investment property?

Yes, it is possible to purchase an investment property without paying a 20% down payment. By exploring alternative financing options such as seller financing or utilizing lines of credit or home equity through cash-out refinancing or HELOCs, you can reduce or eliminate the need for a large upfront payment.

What is OPM in real estate?

Unlike stocks, which you have to purchase 100 percent outright, real estate allows you to fund the investment in other creative ways. In real estate, other people's money (OPM) is a term that refers to using leverage to buy real estate.

What is a good OPM percentage?

Operating profit margin (OPM) is a measure of a company's operating efficiency. It is calculated by dividing operating income by net sales. OPM is used to assess a company's ability to generate profits from its operations. An OPM of greater than 10% is considered good, while an OPM of less than 5% is considered poor.

How to buy a business using other peoples money?

There are a number of ways you can use other people's money to meet your small business goals. Grants, loans, investors, crowdfunding, invoice factoring, and selling your business are several of the many options at your disposal.

What is the 70% rule in flipping?

Put simply, the 70 percent rule states that you shouldn't buy a distressed property for more than 70 percent of the home's after-repair value (ARV) — in other words, how much the house will likely sell for once fixed — minus the cost of repairs.

FAQ

How to make side money with real estate?

What Are the Best Side Hustles?

List Your House on Airbnb.
Start House Hacking.
Virtual Assistant in Real Estate.
Become a Real Estate Blogger.
Learn How to “Bird Dog” Real Estate.
Get Started Wholesaling Real Estate.
Become a General Contractor.
Get Your Real Estate License.

What is the down side of being a realtor?

One of the biggest cons of this job is the amount of patience it requires. It may take a new real estate agent months to find their first client or close their deal. There is a lot of work that agents do before they ever see the profits, such as prospecting, advertising, and conducting open houses.

How do you make yourself stand out as a real estate agent?

8 Ways Realtors Can Stand Out From Their Competitors

Enhance The Client Experience.
Be Professional When Approaching Prospects.
Find Your Speciality & Excel At It.
Build A Formidable Online Presence.
Get On Google My Business.
Invest In Branding.
Build Your Network And Connections.
Sponsor Local Events.

What is the best real estate brokerage for part time agents?

eXp Realty is the Best Brokerage for Part-Time Agents There is no better option for starting a part-time career in real estate, even as a new real estate agent, especially if you are looking to get trained up to turn this into a full-time job and full-time career in real estate.