Expert: Hans Weber, Licensed Broker Associate - 9/4/2007

Question
Dear Experts
           I am interested in becoming a Real Estate Investor using Robert Allen's program.  I am flat broke I was told to try "Real Estate Wholesaling", bringing buyers and sellers together without my buying the property.  I am on disability.  I don't have enough money to file Bankruptcy, so I mean flat broke!  Since I am on permanent disability I can P/T invest but am unable to work a job.  Is the money a person gets for bringing a buyer and seller together considered a sale commission, wholesalers finder's fee, or what?  Please what is the money; earned (salary) or investment income (investor)?

Answer
Hello Mary,

Thank you for your questions.

I am not familiar with Robert Allen's program.

I am a licensed broker and earn commission when buyers and sellers have a meeting of the minds and agree to terms and go to closing.  This takes a lot of time and effort marketing the home for the seller or researching available properties for buyers.  I spend 50% of my time driving around viewing properties with or for buyers.

There are some agents that are paid a base salary and commission.

Either way a real estate agent is licensed with the state they work in.

If an individual acquires property and transfers it to another individual for a gain that would be investment income or capital gains.

Hope this helps you out.

Hans