@Andrew Taylor
Yes, BP is a great resource and you kind of nailed it. Let me summarize the main issues here for everyone's benefit. As I usually do, I'll limit myself to give facts and figures and let people draw their own conclusions, especially since I think the conclusions are pretty obvious here.
1. They're part of a well-oiled marketing machine. That's what they're doing and have been doing for years. While they make it sound like they look after your interests, they are after the commissions. They never mention that, except in the small print. the small print is like this: "We like to be transparent. Therefore, we think you should know that we may receive an advertising fee should you purchase one of the properties advertised...". They mention this because they legally have to but then they pretend that they want to be transparent and yet they mention it in the small print they know nobody reads. That should tell you enough but then, on top of that, they may receive an advertising fee, with an emphasis on the "may". Again this is meant to mislead. They systematically receive a fee. Buy writing that they "may", it sounds like it might just happen from that to time and it certainly doesn't suggest that that's the main way they make their money (more on that below).
2. For all intents and purposes, they're selling real estate and making commission without having a real estate license, as far as I know. In a country like Mexico, I believe it is illegal. If that is the case, they either use a loophole or are trying to do it under the radar. Real estate agents who know about these schemes generally hate their guts and for good reasons. That is unfair competition plain and simple.
3. Obviously, I haven't had a look at their income statements but I'd guess they make 5% of their income from people like you and 95% from the commissions or something like that. How would I know? Apart from the fact that it's common sense, one of my friends who was developing in The Dominican Republic was talking to them (before knowing about their business practices) and they were asking for outrageous commissions (way higher than what a real estate agent would get).
4. We're on BP here. We know we can do anything but we have to work hard or smart to get it. Do we rely believe that we can sit in our chair and get a great deal overseas served on a plateau without having to do anything?
5. I left this for the end but this is the most important point. They have a blatant conflict of interest. Indeed, you and the developer have conflicting interests. You want the best possible deal and the cheapest price while the developer want the highest price and, as intermediates. they want the highest possible price too because it means higher commissions for them. Now think about this. Supposedly, they defend your interests to give you a great deal but they get their income from the developer. So guess which side they're really on? Have you ever heard of a situation when somebody is paid by one party to defend the interests of the opposing party? I haven't.
If this doesn't make people get it, I'm not sure what will!
This being said, Andrew, you're looking for your own deals now and doing your own due diligence so, as I mentioned in my previous reply, I'm not worrying about you. You'll do just fine!
