(Newswire.net — February 19, 2018) — Running a real estate business can be pretty unpredictable. It can be hard to take control of your finances given the ebb and flow of the business. You might have money during some periods but during slow periods, it can be hard for you to meet your overhead costs and pay your bills. That is why a lot of people in this industry take listing advances.
Even though this practice has been around since the 1990s, it is still not widely known about. For you to take maximum advantage of this service, you must have a good understanding of what it is.
Definition
This advance is not a loan. That is why it is not subject to a credit check. It is simply about you selling your commission before you get it. You will be charged a fee for using this service. When your commission finally comes through, the company that gave you the advance will recover their money.
You do not have to pay any upfront fees; rather, the company will recover their fees when your sale finally goes through. You will be charged a flat fee for using this service.
Who is eligible?
If you are a licensed real estate broker or agent, you can get access to this service. Even if you do not have a good credit history, you can still make use of this service as long as you have closed the deal.
This is not like a bank loan
Unlike a bank loan, there is no interest fee charged on the realtor commission advance. There are no monthly fees. Also, unlike a bank loan, you do not have to give any kind of security against the borrowed money. The process of accessing an advance is much easier than that of acquiring a loan.
Application process
You can take out the advance any time that you need it. The application process is quick. It can easily be submitted online and you can get approval in as little as 24 hours. If you were to take a bank loan, it might take several days or even weeks or months for you to get approval.
When filling out the application, you will be asked about the amount of money that you need. You will also be asked about the property that you have sold and the date on which you expect that the sale will be closed. You will also need to provide proper identification documents, such as your driving license.
The company will look at your selling history and analyze how much sales you have made in the last couple of months. They will also check how many active and pending closings you have. If you have at least one more pending closings, this will work to your advantage.
How to get the money
Once your application is approved, the money will be wired to your bank account. This way, you can easily access the cash and you use it as you want.