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Stay away from novice Brokers

By
Real Estate Agent with Chula Vista Realtor,Short sale,Eastlake Real estate,Realtor

I made the mistake of joining one of those "fly by night" companies that got blessed by a misterious force with REO accounts and made them feel like it was due to their smarts; after almost a decade of working for Prudential, a fine and reputable Company.

This experience, while it lasted was not really good, but not bad either, it lasted around 15 months. I would notice that the offices were empty and there was low production, poor management amongst other things, but I kept doing my job and concentrating on my deals. The company started running out of money, poor management and a lack of managerial experience. In the end, the broker emailed us the notice that the office would be closing within 15 days and that there would be no private offices at the small office that he held unto....meaning....look for another place.

I am fortunate to have a broker's license and in the middle of this uncomfortable situation, I started working under my broker's license and obtained an offer for one of my listings held under this "company".

To make the story short, when the transaction was completed, I had to cooperate with buyer $5,000 to close the transaction (damned short sales).

When escrow disbursed the checks, this tiny crook, simply applied his split to the whole transaction (buyer and seller side) and unilaterally took it from the listing check. And then decided to screen my calls and completelly avoid responding to emails, text messages, voice mail, where I tried to instill some sense into him.

Finally, I am proceeding to file a complaint with the CA Department of Real Estate and taking him to Small Claims. What bugs me the most, is how a dumb idiot like this is still going to cost me time, money and effort to pursue what is mine

The moral of the story......specially in this trying times, stick with a big and reputable company, tiny ones will only increase your stress. Our job is to complicated to also have to worry about the stupid broker knowing how to do his job.

Jon Quist
REALTY EXECUTIVES ARIZONA TERRITORY - Tucson, AZ
Tucson's BUYERS ONLY Realtor since 1996

You're right about the big well established companies. To a point. You really need to be sure you fit in with their corporate culture, and also what they do for YOUR business model.

Aug 11, 2011 05:06 PM
Karen Anne Stone
New Home Hunters of Fort Worth and Tarrant County - Fort Worth, TX
Fort Worth Real Estate

Henry, best of luck with pursuing your claim against this clown.  It sounds like this guy and his business are going nowhere but down.

Aug 11, 2011 05:07 PM
Patty Clark
Morningside Homes, LLC 720-231-5200 - Denver, CO
Helping Families Move with Care

There is a happy medium between corporate offices and small offices. Talk to your Realtor friends, lots of them, and see who is the happiest that will fit your way of doing business. Interview the broker!

Aug 11, 2011 05:11 PM
Dan Edward Phillips
Dan Edward Phillips, Humboldt and Del Norte Counties, CA - Eureka, CA
Humboldt and Del Norte Counties, CA

Good Evening Henry, very good advice, especially in California. 

Aug 11, 2011 05:11 PM
Allen Stout
Allen at OklaHomes Realty, Inc. - Claremore, OK
Realtor you can trust

I was a novice broker once but I got over it.  Thankfully I was able to recruit agents who forgave me for all the stupid mistakes I made.  Been a broker for 26 years now.

Aug 11, 2011 05:29 PM
Bryan Robertson
Los Altos, CA

I wish my brokerage had an office down there, we're all highly experienced professionals (no newbies) and while small, hold a leadership position in the industry.  In this business, there's no room for those crooks.  Good riddance.

Aug 11, 2011 05:39 PM
Elite Home Sales Team
Elite Home Sales Team OC - Corona del Mar, CA
A Tenacious and Skilled Real Estate Team

Now that is a real bad experience and crooks will be crooks.  Good luck on your situation.

Aug 11, 2011 07:35 PM
Wallace S. Gibson, CPM
Gibson Management Group, Ltd. - Charlottesville, VA
LandlordWhisperer

Going out on your own is the key.  I'm not sure why real estate agents no longer pick up their commission checks from escrow or closing.  30 years ago, we never tasked the closing agent to track down and mail commission checks.  The listing broker picked them UP and delivered them to the SELLING broker and to their own office....HIGH FIVES all AROUND!

Aug 11, 2011 11:08 PM
Mike Young
203kOnLine.com, covering the USA - Stallings, NC
FHA 203k Consultant 916-758-1809

WE all started as novices but the fallout is going to catch most of the ones looking for a fast buck. It is always good to have experience on your side though. Interesting

Aug 12, 2011 10:00 AM