Has anyone heard of this?

[Account Closed]

I had a Bird Dog call me last week about a property in his area that fit my criteria. I told him to go ahead and have the homeowner give me a call, that I'd be interested in pursuing the property. He calls me back a couple days later and tells me the property is already tied up, but that the individual wanted to talk to me about buying it. So I'm assuming a wholesaler is wanting to move it for a little cash and asked him to verify before I make any calls.

He calls me back the next day and tells me that the individual is a negotiator. He has the property tied up with no intentions to purchase, just to negotiate the deal. And it gets better, he wants $2995.00 to negotiate (no biggy) and 6% of the final sales price! :eyes: He is not a realtor, this is simply his fee for the negotiations and for tying up the property.

I had to pass on it, just wondering if anyone else out there has encountered this?

Thanks,
Kyle

[Curtis Williams]

Hey Kyle,

I pulled up Ohio Real Estate Laws:

Ohio Revised Code Section 4735.01 sets forth those acts which require a real estate license if they are done for another person and for a fee, commission or any valuable consideration. Among these is anyone who "directs or assists in the procuring of prospects or the negotiation of any transaction … which does or is calculated to result in the sale, exchange, leasing or renting of any real estate."

Regardless of the law, finding a solid realtor or investment group as Bryan said is the best way to get the best deal. Building a relationship with either can get you that "hot off the presses" lead you can use to jump on great deals.