This is a question for other agents and members of the REALTOR association.
According to Article 12 of the REALTOR code of ethics we're required to disclose that we are real estate proffesionals in all real estate communication. I have a few questions on this as it pertains to land flipping.
1. It's my interpretation as well as my principle broker's that I must disclose this info when sending out mailers. Would you agree?
2. Do you feel disclosing this might scare away potential sellers who receive my mailers? Or do you think it would work to my advantage?
3. Depending on your answer to number 2, how would you minimize the negative effects of this disclosure? On the flip side are there any ways to maximize the benefits if any?
4. Have you noticed any good or bad responses due to your status as a REALTOR?
I am a realtor in Washington, and there are specific requirements for what you need to disclose and where. It will vary by state, but for electronic formats such as Twitter, you can provide a link to a disclosure. NAR Code of Ethics 12-5 requires disclosure of your brokerage’s name. For a postcard, you could sign it with your name, brokerage, and license # in a visible but unobtrusive place.
Disclaimer: Check with a real estate attorney in your state, but I think that you will find: 1) if you are buying and selling in a state where you are unlicensed, these rules do not apply, and 2) if you are licensed in the state but you are not acting on behalf of your brokerage for the benefit of a client, then this rule does not apply.
@jlandrus11 Great question, I am licenced in Georgia and have already been dealing with this issue when I send out direct mail for potential house flips. I always disclaim that I am a Realtor. Have not gotten any push back yet. I disclaim that the company has a licenced realtor on staff and then make them aware that I am not looking to list their property just looking to buy it. I think if you word it correctly your realtor status could give you credibility over someone who is unlicensed. Would love to know what you come up with. Have a great day.
I'm licensed in the State of Indiana. When I started my land business there, I disclosed I was an agent and listed my license number on my direct mail, (and also mentioned on my mail piece that in this transaction I'm not acting as an agent but as a buyer.)
I then moved my land business to Florida and since I'm not licensed there, I don't bring it up usually. It's not that there is anything negative in bringing it up, it's just not that relevant since I'm not licensed in Florida.
To my knowledge, if you're doing the land business in a state where you're licensed you need to disclose that you're licensed. If you're doing business in a state where you are not licensed, I don't believe you do - but definitely check with a real estate attorney if you're suspect this is incorrect.
In terms of whether this scares off motivated sellers or not - I haven't seen have any negative impact whatsoever!
In fact, in some circumstances I found that it helped seal the deal because they knew, as an agent, I had to be ethical and upstanding in my interaction with them.
One benefit you have as an agent is you can look for expired land listings in the MLS for deals! That could be a great source of deals potentially!