The lead attorney for CAR makes an annual visit to discuss the latest issues and changes.
The first minute is muffled, but what was said is that the California Department of Real Estate is investigating complaints about short-sale fraud being committed by realtors.
Here is the link to file a complaint: http://www.dre.ca.gov/cons_complaint.html
This video might pertain to realtors only, but it offers some general insight into the business too:
So to confront fraud, the buyer’s agent is supposed to demand a physical meeting with the buyer, or demand the other realtor put offer presentment in writing?
Ridiculous. This is no solution at all. 99 out of 100 realtors simply will not “demand” this.
If CAR had half a brain, they’d demand an immediate rule change: all offer presentments and rejections must be put in writing and signed off by the actual seller, period.
Forcing sellers and their realtors to sign off on the rejection of each offer is the only way to cure the problem. Asking buyers’ realtors to police the sellers’ realtors? Utter garbage.
Really? I’m shocked, shocked to find this out!
In all seriousness. Short sale fraud (along with rampant fraud in many bank deals) are so prevalent, it’s hard to believe anyone who “hears it’s happening”. Duh, too little too late. Bringing a knife to a gun fight – Typical CAR.
Every offer/counter needs to be in writing, and disclosed to all parties (all offers go to bank asset manager, all relationships disclosed, or you lose your license and get prosecuted criminally, period!, no exceptions.
Telephone records should also be disclosed and reported like with the SEC.
DRE is a joke. I submitted a fraud complaint to both them and the San Diego County District Attorney – http://www.sdcda.org/preventing/real-estate-fraud/how-to-report.html – and got blown off by both. Situation was a husband agent served both as listing and buyer’s agent for his wife’s condo that was sold way above market price to a straw buyer, the wife’s elderly mother. The buyer/mother/mother-in-law never occupied the property or paid HOA fees, and the condo was foreclosed on a couple of years later. An HOA bill in excess of $15K was left behind. The mother is elderly, Iranian, doesn’t speak English and may have no idea she was used to line the coffers of her scum daughter and son-in-law. I provided current addresses, phone numbers, work and home, of involved parties, deed #’s, agent’s license #, MLS # of the sale, etc. DRE responded saying because I didn’t provide a physical copy of the deed they wouldn’t do anything. So they may send out a smooth-talking suit to make you think they’re out fighting the fight, good luck having a real action taken. Sickening.
P.S. The husband/agent also owned a condo at the same complex that he ditched, and was foreclosed on. He left behind an HOA bill of $4K. Dirtbag declared bankruptcy so the HOA can’t go after him. Husband and wife since divorced and both now live in separate $800K homes in a nice area of Poway. What a country indeed!