I don't need no Stinkin license

Bird Dogs, Wholesaling
21

STATE OF CALIFORNIA
BUREAU OF REAL ESTATE
2550 IUABIPOSA I,4ALL, SUITE 3O7O
FRESNO. CA 93721-2273
(559)445-5009
November 09.2016
MT. RANDY PHILLIPS.
CLOVIS, CA 936,12
CaIBRE File #:6-1 6-0921 -001
Dear Mr. Phillips:
1 'i:ar specific real estate services do you provide?
2 !ow long have you been providing these services?
3 Do you work independently, or for another person or company as an employee (W-2) or
independent contractor (1099)? Please identify for whom you work for and provide any employment
agreement(s) you have in this regard.
4. How are you paid for your services? Please submit proof of compensation. 5. How many transactions have you completed in the past year? Please provide copies of the
pertinent documents for those transactions, including, but not limited to, purchase contracts, other
contracts, escrow closing statements, etc.
6. Are you operating under the authority of a license issued by another California agency or under an
exemption from the Bureau of Real Estate’s licensing laws? lf so, please identify the licensing
agency and/or explain how any claimed exemption applies to your activities.
Your answers to these questions and any supporting documentation should be forwarded to my
attention.
You rnay contact me at (559) 445-0004 with any questions
Thank you in advance for your cooperatron.
Special lnvestigator
Fresno Enforcement Office

Haha, I enjoyed sending them a F___Y__ Response
Which I just mailed.
Some body that knows me and my home address sent them a complaint, I suspect it was the psycho bird dog that filed a workmans comp claim on me last year and never showed up at the hearing.
I actually enjoy pissing off these a holes. These will be good fodder for my new book.

Let’s make some Money…

Rando

22

Hi,

Rando in late 2004 California's Franchise Tax Board decided in their infinite wisdom to start a witch hunt on my company, we had offices in Irvine since 2001 and I lived in the Spyglass Hill area of Newport Beach. I could drive up Jamboree to home in 5 minutes for lunch!

The Franchise Tax Board went after our worldwide revenue and profits, we had no California income and only had a office there for convenience because some of my original associates came out of the southern California heavy construction industry.

They felt entitled to tax us as they felt we owed them something! This was a huge bill and was not the little here’s a few bucks and it goes away.
We were actually a primary corporation in another state and had incorporated in California to provide office space and pay associates for their work.

We had offices in our primary state of operations and in fact had incorporated two years before, we had our banking in another state and primarily operated day to day from our primary state offices, the state of California forced us to defend our self in court, tried to seize our out of state bank accounts generally bullied us.

It took us almost two years battling and filing motions in court to finally get a decision that California over stepped there authority and had no right to revenue consolidated in another state. It cost us hundreds of thousands of dollars in legal fee’s, expenses and court costs, we closed our offices in late 2005 and left California. I sold my home in Newport Beach and basically said screw you!

Now we still do business with Marsh and AON and still have part of our audit and tax work done by PWC and McGladrey in Irvine, but for all intent and purposes were pretty much done with California. We do own some mining properties in California but thus far have not been able to get permits to develop and operate because of EPA issues.

California can be an interesting state as there over reaching before thinking has gotten them into many problems!

Good luck getting through this and remember not everyone in California working for government is very sharp.

                  GR
23

Screw California. Let them secede.

President Schwarzenegger or whoever their governor is.

24

The California State Tax board has garnished my wages and emptied my savings account on several occasions.
You can imagine my feelings on how I feel about them and their Gestapo tactics.
I paid $400 to register my Harley, $600 to register my Honda Accord, and my new Toyota Tundra was going to cost $2,000 for taxes and registration. So I registered it in South Dakota for 450 buks
We are getting taxed to high hell over here, more laws and restrictions every day, now I believe a new law came into effect that there is going to be a back ground check and waiting period for buying ammunition.
But, there is a lot of money making opportunities here, and its a great place to live if you got money, and I always have my cave in Northern Idaho to retreat to when I want to hide out from Redstar and the tax man.

25

What size postcards do you mail out?

I’m going to do 6" x 9".

26

Redstar, You can send your questions to Randoskie at the Cave, 1213 Grisly Bear Trail, Moose Scat, Northern Idaho USA
I usually check my mail twice a year, in spring and in Fall.

27

Awesome

28

LOL! That’s a guy looks like my deep sea fishing friend, so I used his photo. That’s not me unfortunately. :biggrin

29

[Edited]
Gold River, you’re not alone in being chased out of California. I’ve lost count of the number of businesses that have bailed on California for other states, because of regulation and taxes. It’s literally thousands over the last ten years.

California’s four decade hostility to business is coming home to roost, as it becomes desperate for taxable income, in order to realize it’s wet dream of becoming a socialist Utopia.

Meantime, the earth-worshiping, anti-business elitists in Northern California (aka Bay Area socialists) are cronied up with Sacramento lawmakers, who work together to consistently make it harder and harder to do business in California.

Protection of the environment is their number one tool to this end. This is most evident with the dust bowl they created out of the San Joaquin Valley. The state has refused water to farmers, including the forced rationing of their own ground water.

Never mind the refusal to approve new reservoirs that would provide enough water for agriculture needs, and reduce the state’s vulnerability to drought.

That’s just the tip of the iceberg. According to ‘bizjournals.com,’ 9,000 corporations have moved from California to Texas alone, since 2008. That’s NINE THOUSAND companies moving out of California …just to Texas!

Here’s a link to an exhaustive, 450-plus page, 2015 report that spells out the carnage.

http://www.spectrumlocationsolutions.com/pdf/Businesses-Leave-California-.pdf

The question comes, "How will real estate fare, as the economy continues to decline and employers continue to leave the state?”

Meanwhile, California is already operating at a deficit, and as it chases away ever more business, and offers ever fewer employment opportunities, it’s either going the way of New York State that boasted the most millionaires lost among the fifty states, according to an article in the Observer dated 9/7/14 that headlines, “Idaho, North Dakota and Wyoming Should Not Beat New York in Anything,” or it will go bankrupt, as it creates the most onerous tax burden of any state in the nation.

As taxes and regulation continue to increase, the real estate developers and investors will have to overcome increased development costs, and likely slow the industry. Further slowing the economy.

I suppose that ‘things’ will level out and adjust, relatively speaking; as the more wealthy, remaining California businessmen and investors operate in California’s socialist, anti-free market slum. I don’t know.

However, that would mean there’s going to be a LOT fewer players able to play, which is exactly what the cronies are after, and which has resulted in New York state, despite their propaganda.

Overcoming socialist cronies will increasingly become a big player’s game.

30

I called this Bureau of Real Estate a few mornings ago. The guy answering the phone asked if was responding to the letter he sent and cud I send in my paperwork showing the deals I’ve done and the escrow papers so he could review them and determine if I was operating legally or I need a license.
I asked him if he had ever heard of the term Wholesaling real estate? and I told him to write down the term equitable interest.
I told him he has no jurisdiction over me and I refused to send him anything. He told me I needed to go thru the real estate laws and point out the paragraph that shows I am operating legally. I told him I don’t need to do nothing and I suggest he get an education on wholesaling real estate and learn what equitable interest means.
Then he tells me he might be filing a cease and desist order. Then I told him he may be liable for harassment on someone that is operating legally.
He’s probably a former realtor that cudnt make a living like so many others and got a job with a steady paycheck and thinks he knows everything.

31

REBUR: I might be filing a cease and desist order against you.

RANDO: Cease and Desist order? Against what? You don’t even know what to tell me to stop doing.

REBUR: Well, you’re doing ‘something illegal,’ until you prove it’s not illegal.

RANDO: Sir, where do you keep your broom?

REBUR: I don’t know what you’re talking about.

RANDO: Where do you keep your broom?

REBUR: I don’t have a broom.

RANDO: What about the one you rode in on?

32

Hi,

Now I'm laughing, this sounds a lot like the crap I went through 12 years ago! Although it was not funny at the time this sure stinks like the California bureaucracy and the know it all state employees who put there foot in their mouth before thinking? Do any of these state employees have half a brain and can't they figure out your not a realtor and do not list or sell property for a commission?

It only takes about a 2 minute conversation with an attorney to figure out what “Equitable Interest” is and how it’s defined and used! The problem with government is the right hand does not know what the left hand is doing, there so busy doing there quote “Job” to pull their head out of the south side of a north bound bull! I mean it does not take a rocket scientist to understand or discern the difference in listing / selling real estate and selling your interest in a legal contract!

If it wasn’t so damn stupid and such a waste of tax payer dollars, so yes Rando someone ratted you out! We can put some dog crap in a bag and light it on fire on this guys front porch and ring the bell? Or toilet paper his favorite tree? Or wrap his car in shrink wrap? Yes, paybacks are a bitch! Lol

Just a little common sense and a quick phone call and this guy could go pick on someone else found guilty until proven innocent!

So I am off to my little log cabin to chew on venison jerky and tell stories around the old fire and sip a little moonshine!

Good luck,

              GR
33

Haha, yea I know someone turned me in, because the licensing bureau has my home address, they can’t get that off my ads on CL with the google number, and the dipwad tattle tale that comes to mind is the discrunted bird dog that never showed up to the California labor board hearing last year, or was it the year before?
Because realtors don’t know my home address so I don’t believe it was one of them.
I think the old bird dog is pissed cuz he’s still reading about the deals I’ve been doing on this site.
I sent him an email with photos of my new airplane and new vehicles and photos of the recent checks that I made 40 grand in one month. That shud really send him over the top. Maybe I shouldn’t have, but, hell, it’s fun.
I called him a psychotic old has been and if he hadn’t been such an a hole I wud of showed him how to wholesale houses, or he cud just buy my new book on Kindle first of next year for $2.99
I hope to become even more successful and wealthy and have many more attacks, that’s when I know I have made it.

34

Loved that one, but for general information they used to send a letter, not make a phone call if it was the state. I have gotten several of these calls over the years on ads etc. and most were investors trying to eliminate some competition and agents who were trying to list a property I was interested in. I just used to use my first name and a 800 number, which captures the callers number because your paying for the call. They didn’t know who they were calling and just assumed they could play hardball.

The agents hated it when their broker called them into their office, and explained the law to them and that they could find themselves in front of the DRE and The Bar Association, and the guy you tried that on has been a broker and investor since before you were born.

35

The dipwad that called and sent me the letter is from our local RE licensing office, I’m thinking of filing a complaint with the State office in Sacramento. Just because I can be a dipwad too and it cud be fun and satisfying, or maybe I shud let a sleeping dog alone.
But yea, it seems he shud know the law and not to bother wholesalers that are operating legally.

36

California Bureau of Real Estate. 1651 Exposition Blvd. Sacramento Ca 95815

To whom it may concern.
I have recently been contacted by phone and letter by a Mr. Ernie Ruiz Special Investigator Fresno Enforcement Office that I may be operating illegally by flipping and wholesaling & advertising real estate.
I explained to Mr. Ruiz that he was incorrect that I in fact was operating legally because I get these properties on contract with an earnest deposit which gives me equitable interest and the legal right to buy and sell and advertise any property in the USA without a real estate license.
Mr. Ruiz insisted I prove to him that what I was doing was legal by showing him in the book of California real estate laws and regulations that gave me this right.
Mr. Ruiz’s letter was a demand or request that I present all the deals, escrows and etc. that I had completed so that he may review them to see if I was operating legally. Of course I refused because he has no jurisdiction over me and my dealings and no right to interfere with my legally operated business.
I suggested to Mr. Ruiz he write down the term equitable interest and do some research.
Mr. Ruiz then threatened me with a cease and desist order.
I explained to Mr. Ruiz that he could be liable for harassment to an investor operating legally.
My intention is only for Mr. Ruiz and other ignorant realtors to acknowledge that they are not proficient in real estate law and realize that real estate investors do not need a real estate license.
If you can instruct Mr. Ruiz that he is in error, so that I won’t be bothered by his future phone calls and letters and also to prevent him from harassing other legitimate real estate investors.
I would greatly appreciate it.
Thank you.
Randy Phillips

37

I just received another letter from the Real Estate licensing office in my city. This time it was from another special investigator in the same office. I immediately sent a return letter telling him where to stick his letters.
I suspect that maybe a certain grouchy homeowner that told me to stop sending him post cards is behind it all. A city employee drove by my house and seen a bandit sign on my front yard that I buy houses and I got a formal letter telling me that was against county ordinances. I made 8 grand off of that sign and hated to remove it.
I also got a letter from the city requesting I get a business license. I removed the sign but told the city to suck pine tree pitch.
The grouchy homeowner wudnt tell me who he was or his address, so he keeps getting my post cards. If I knew who he was I wud probably double up on the post cards to him and send him a package of fresh fertilizer. All future mailings won’t have my return address on them.
One of the best things about wholesaling real estate is the minimal amount of government interference.
But, it wud be too boring with out some.
Let’s make some Money…

Rando

38

I would be a little careful if I were you.

Some years back, I was following the case of a real estate guru, one Joe Kaiser, and he derisively dismissed matters when the authorities got after him, and posting about it. He also claimed he got “equitable interest” in the properties he acquired. The key here is he how got hold of the properties real cheap and what he represented to each owner when he got it so cheaply.

Finally, the Washington State AG banned him from doing any real estate deals in the state, see:

http://www.atg.wa.gov/news/news-releases/pay-time-notorious-foreclosure-rescue-scammer

I don’t know all the details of how you do business, compared to Joe Kaiser, or the consumer protection laws as they pertain to real estate sales in CA. Here in NY where I live, I know they finally passed the “Home Equity theft prevention act” that puts the brakes on various types of creative real estate dealing. But that’s another long story.

Click the “Case background” link in the article for more details.

39

Frank C,

The link you included tells the story of some con man targeting foreclosures and stealing elderly people’s homes.
As wholesalers, what we do is slightly different.

1 We don’t do foreclosures.
2 We negotiate a purchase price with seller and pay for their houses in cash.
3 We don’t steal people’s houses.
4 We use Title companies, do escrow and title insurance.

Are you familiar with wholesaling real estate, or did you get on the wrong forum?

40

Rando:

No need for insults, I only urged you to be cautious.

I’ve been a real estate investor for nearly 40 years and attended REI club meetings, hung around RE websites, studied RE in NYU school of continuing education for just as long, and even got a stinkin license. If I missed real estate wholesaling, I must be blind, stupid, or retarded.

BTW, being in the right forum does not make anyone an expert.

I know the article mentioned had to do with foreclosures, but the bigger issue has to do with “consumer protection laws” which the authorities can twist any way they want, against wholesaling, foreclosures or whatever. I cannot see consumer protection laws only apply to foreclosures, not wholesaling.

Joe’s main offense appears to be “misrepresentation” which could exist in any transaction. This often happens where there’s seller’s remorse, when they found out, true or otherwise, they sold the property too cheap. No where in the complaint was it mentioned he had no license.

Seems like your position as a wholesaler, no laws apply to you, either Real Estate, Consumer Protection or whatever.

You also announced with pride here that you told the authorities where to stuff it. I mentioned in my post I am not an expert on consumer protection laws in CA, and cannot tell how you are in violation. I’m a believer of if there’s smoke, there’s fire, so if the authorities write you to desist, I would consult an attorney instead of telling them where to stuff it.

I guess Special Investigator Ernie Ruiz to be just as retarded as I am for not visiting the right forum to bone up on wholesaling. With your bad attitude, I can see Investigator Ruiz can come down after you like a ton of bricks and get the last laugh, that is, if he has any pride left in him.

And if you received notices from someone else in the office, usually, that means to me the original investigator referred the case further up the chain. That happens in code enforcement offices around here when they encounter wise guys.

I can see him saying “Let’s go out there and get 'em” with relish.