Let me set the scenario.. .
You are walking in the street and here is Joe Blow wearing a rain coat revealing "Rolex" watches REAL CHEAP!!! and if you want to buy a house. . well he's got one as well and he'll arrange the financing for you.
Sounds far fetched??
Not so fast.. . .in Maryland and Virginia there has been a wave of Realtors operating at the edge of being unethical, providing financing for their clients as well.. .
One of the reasons why we had the problems we are facing now is because several people specially minorities have signed contracts that they can not understand and read, paying several points with no remorse whatsoever.
One of the "Short Sales" in our inventory. . . I was dismayed to find out that the Realtor and the wife as a loan officer managed to get a commission of over $30,000 for a $350,000 home. (between points and Realtor commissions. .you only need to do five of them a year to earn a good living!)
They protested when they were signing, "We can't make these high mortgage payments!" Don't worry, we will refinance 6 months from now and you will be OK!"
After 6 month and several calls, they gave up. There was no refinancing because the credit criteria has changed and their monthly payments went from exorbitant to obscene.
In another words. . .they were screwed.
They have a 6 year old daughter!!!!
What do you tell her?
"My sweetie, we are foreigners here. . we don't want to make too many waves. . .but we have to live in our car from now on. . .because we got screwed in our loan and our house was over-inflated in price and now is worth $75,000 less!!!??" So put your Barbie dolls in the trunk?
We are contacting the right people to scrutinize this contract and ask for detail explanations. . form this husband and wife team.
How can you as a consumer protect yourself before buying real estate? I take this very seriously, as an owner for a Keller Williams franchise and Team Leader/Founder of Herboso & Associates my stand against “shady deals” are strong and “NOT IGNORED”, my advice to both Buyers and Sellers is to tell you here now. . . Fraud in Real estate is rampant and each of you should read and be forewarned. I just can’t begin to state how important it is to have a quality, ethical Real Estate professional working on your behalf. If you are going to learn anything reading this post . . Should be this: “Experience doesn’t cost…it PAYS” When you hire us, you will be assured to get honesty, experience and the job gets done right!
Currently under general conditions in Maryland a Realtor may take loan applications and seek out loans for buyers. Many of my colleagues do just that. I do not. It is my contention that this is a conflict of interest. I’m good at what I do because I spend 100% of my time doing Real Estate full time. If dabbling in loans and real estate, it is my opinion that nothing would be done in excellence but be done in a mediocre way. We are not Jack Of All Trades. . Master of None! I leave the loan portion to the experts that I have sought and I know follow the same ethics that I demand for my Team and myself. . . who I can unequivocally state and promise you a treatment that will seek the best possible outcome for you and only YOU!
When given a referral by me, or one of our staff... you can count on good ethical service. AND TAKE IT TO THE BANK!
Please understand, you may have a perfect ethical Realtor/loan officer serve you well. . I just feel that I serve my clients better when I allow them to shop for the best rate and service by a pro that knows his craft well.