You are Real Estate Investor, Not a Consultant
There are a number of real estate investors out there, especially in this down market that we’re in currently with a lot of foreclosures advertising and marketing themselves as foreclosure consultants. If you’re doing this, you need to stop doing it immediately, if you are reading this right now and you are even considering doing this, listen to me when I say you don’t want to go there.
You are not a foreclosure consultant. You are not someone who advises people what to do in their foreclosure situations. Unless you have some kind of certificate with the federal government, unless you work for FHA or Fannie Mae or Freddie Mac or HUD program, then you are not a foreclosure consultant.
You are only one thing. You are a real estate investor. You buy houses. You don’t consult people with people about their problems, unless you have a license.
So, don’t advertise yourself as a foreclosure consultant because there are a lot of people doing this. There are a lot of scams being cracked down on right now. And you do not want to find yourself in middle of that circle. So, if you’re doing this, please stop immediately and that’s really all I need to say about that.
There other sign of that coin is there are a lot of real estate investors out there charging money from people in default for foreclosure services. This merges right along with what acting like a foreclosure consultant. You’re not a consultant and therefore, you should not charge money from people in default for foreclosure services.
You do not charge to negotiate a short sale property, to negotiate a short sale deal with their lender. How do you think that’s going to look if somebody comes back and cries “Foul” on you and you’re in front of a judge and this person can’t make a mortgage payment and you’re not making them any guarantees that you’re going to be able to buy their house, but you are requiring that they pay you for services that you don’t even know if you are going to be able to deliver to them?
Plus, any costs you incur while negotiating a short sale will be minimal and the payday will be big.
It’s pretty straightforward if you ask me. So, do not get into the habit of charging money to people who are in default for foreclosure services, short sale services, negotiation services, whatever you want to call it, unless you have a license to do so.
So, stay away from this whole avenue of things because it is just negative publicity for you waiting to occur.
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