First i found a house my landlord was looking to sell his home so i listed it advertised it and people didnt call,so i called them. After about A month of being turndown someone came out to see it and wanted it.
I called my landlord over and asked him tosign a contract that states when i find a buyer u must give me 2000 at 48 hours after closing
I made the buyer sign a finders fee contract for a grand when we close must be received within 48 hours of closing.
then they met i didnt care what they said when i wasnt a round,long as i got paid,and i did.
Accepting money for selling a property here is illegal, don’t know about where he is. The only way a non licensed person can sell real estate here, is if they are an auctioneer and they hold an auction for the property.
When i signed the contract i listed as the consultant in the deal not the broker,i stated it loud and clear too!!
my company is listed as a consultanting company not as a rea lestate firm.
You still need a license. You should call your state’s Real Estate Commission office and ask them if you can do this type of setup. Don’t tell them you already did and see what they tell you.
You can call yourself anything you want - consultant or otherwise. The mere fact that you are contracting for these fees to be paid outside of escrow as part of your contract will probably be seen as de facto intent to detection for vilating the real estate agancy laws. If you are contracting to market a person’s property and receive a fee for finding them a buyer are required to hold a valid real estate license in every state that I know of. You can do this up until you someone complains to your state’s real estate regulating authority.
Once you are noticed by the regulators you will be shut down and forced to pay some hefty fines - and probably be required to never practice anything resembling a real estate business again. That is assuming you don’t do something terribly and immorally egregious that makes them want to seek out criminal charges.
Don’t take our word for it. Contact an attorney knowledgeable atbout your state’s real estate agancy laws. Tell them your method of doing business and ask them if they believe you would be violating any state laws or regulations. I expect they would tell you that you are violating several score laws.
There are so many ways to make really good money in real estate by following the laws, why would you want to risk it by doing something so obviously ethically and legally wrong?
you have “implied agency” with the seller. You need a license for this structure. Next time, buy the house, double close, or assign the purchase contract. You do too many of these deals and you’ll get nailed for practicing real estate without a license.
I just escrowed my real estate license after 10 years in the business. I can tell you categorically that you did in fact practice real estate without a license. I am going to caution you about speaking on this deal in any way to anyone else - and pleaaaaaaase take to heart everything that you have read here, it is for your good. Don’t do that again. :banghead Double close it, assign it, lease option it - but make sure that it is yours to sell before you “LIST” it and sell it.
Congrats on your first deal. Next time you need to be careful though. What you did is a little borderline.
Fadi gave some good advice.
I’d also suggest using a Sales Disclosure with the Seller and the Buyer, just so you protect yourself a little better. Being that your not licensed. Keep doing deals bro!