All Forum Posts by: Storm S.

Are you able to build on it is the most important question. My friend has land he wanted to sell. I tried to sell it for him I talked to over 50 people interested in the land but I couldn’t get one person to buy it because the land was useless the county wouldn’t let you build anything on it.

Use the 6000 dollars to buy REITs stock using protective put options and then once those are exercised write covered calls generating option premiums in addition to the dividends and equity growth. This will get you monthly income on your 6000 and a good ROI

I forgot to add in here that brokers are not allowed to take appointments if they want to act as a broker and charge fees accordingly and failing to comply with this can result result in losing your license. Also it says on there website that brokers are allowed to receive commission from the insurance company and charge a brokers fee in the same transaction. Which makes me confused how do they receive a commission if they are not allowed to be appointed with the companies?

Hello, everyone, I'm trying to figure out how insurance brokers function in California. Here is a description of the types of insurance producers in California from the department of insurance website.

The following are descriptions of the four basic distribution methods:

Captive Agent

A broker-agent acting as a captive agent represents a single insurer, or single fleet of insurers, and is obligated to submit business only to that company or, at the very minimum, give that company first refusal rights on a sale.

Insurance Broker

A broker-agent acting in the capacity of an insurance broker is an independent insurance sales person who searches the marketplace in the interests of clients, not insurance companies, and may place coverage with any admitted insurance company. Since brokers are not appointed to represent specific insurance companies, they must post a $10,000 bond before acting as a broker. Broker bonds can be verified on this Website with the broker's name or license number.

Independent Agent

A broker-agent acting as an independent agent is a contractor who represents different insurance companies and who searches the market for the best coverage based on a client's insurance needs. However, unlike an Insurance broker, independent agents must be appointed by each insurance company they represent before placing coverage with that company. Agent appointments can be verified on this Website with the agent's name or license number.

Direct Writer

Direct writing is a method of selling insurance directly to customers through a company's own employees, usually via Internet, mail or telephone solicitations, or at airport booths. Agents and brokers are not used in this method of product distribution.

I understand what a captive agent, independent agent, and direct writer are and how they work. But my question is how do Insurance Brokers operate since they have no appointments with insurance companies. how do they receive quotes for clients? A lot of independent agents call themselves insurance brokers even though they are not. I am trying to understand the logistics of how an insurance broker operates. Are there any Insurance Brokers on here that can chime in?

Hello, everyone, I'm trying to figure out how insurance brokers function in California. Here is a description of the types of insurance producers in California from the department of insurance website.

The following are descriptions of the four basic distribution methods:

Captive Agent

A broker-agent acting as a captive agent represents a single insurer, or single fleet of insurers, and is obligated to submit business only to that company or, at the very minimum, give that company first refusal rights on a sale.

Insurance Broker

A broker-agent acting in the capacity of an insurance broker is an independent insurance sales person who searches the marketplace in the interests of clients, not insurance companies, and may place coverage with any admitted insurance company. Since brokers are not appointed to represent specific insurance companies, they must post a $10,000 bond before acting as a broker. Broker bonds can be verified on this Website with the broker's name or license number.

Independent Agent

A broker-agent acting as an independent agent is a contractor who represents different insurance companies and who searches the market for the best coverage based on a client's insurance needs. However, unlike an Insurance broker, independent agents must be appointed by each insurance company they represent before placing coverage with that company. Agent appointments can be verified on this Website with the agent's name or license number.

Direct Writer

Direct writing is a method of selling insurance directly to customers through a company's own employees, usually via Internet, mail or telephone solicitations, or at airport booths. Agents and brokers are not used in this method of product distribution.

I understand what a captive agent, independent agent, and direct writer are and how they work. But my question is how do Insurance Brokers operate since they have no appointments with insurance companies. how do they receive quotes for clients? A lot of independent agents call themselves insurance brokers even though they are not. I am trying to understand the logistics of how an insurance broker operates. Are there any Insurance Brokers on here that can chime in?

Hello, everyone, I'm trying to figure out how insurance brokers function in California. Here is a description of the types of insurance producers in California from the department of insurance website. 

The following are descriptions of the four basic distribution methods:

Captive Agent

A broker-agent acting as a captive agent represents a single insurer, or single fleet of insurers, and is obligated to submit business only to that company or, at the very minimum, give that company first refusal rights on a sale.

Insurance Broker

A broker-agent acting in the capacity of an insurance broker is an independent insurance sales person who searches the marketplace in the interests of clients, not insurance companies, and may place coverage with any admitted insurance company. Since brokers are not appointed to represent specific insurance companies, they must post a $10,000 bond before acting as a broker. Broker bonds can be verified on this Website with the broker's name or license number.

Independent Agent

A broker-agent acting as an independent agent is a contractor who represents different insurance companies and who searches the market for the best coverage based on a client's insurance needs. However, unlike an Insurance broker, independent agents must be appointed by each insurance company they represent before placing coverage with that company. Agent appointments can be verified on this Website with the agent's name or license number.

Direct Writer

Direct writing is a method of selling insurance directly to customers through a company's own employees, usually via Internet, mail or telephone solicitations, or at airport booths. Agents and brokers are not used in this method of product distribution.

I understand what a captive agent, independent agent, and direct writer are and how they work. But my question is how do Insurance Brokers operate since they have no appointments with insurance companies. how do they receive quotes for clients? A lot of independent agents call themselves insurance brokers even though they are not. I am trying to understand the logistics of how an insurance broker operates. Are there any Insurance Brokers on here that can chime in?

Yes it could be done it just won’t make very much money for a 200 unit building in California you would probably if every tenant went with you make around 5000 dollars a year in commissions then you have to consider the time spent and fees to get licensed or what happens to your commissions people don’t go with you

Your lucky in my area a home in a high crime area that needs major renovations would be around 700,000

Yes but I have a broker who will let me do this and I plan on becoming a broker as soon as possible. I’m fine with paying the fees because I’ll also be doing normal listings and I get mls access and commissions when buying my own properties. I think this is way of wholesaling is better for me because it has less risks. For example I would not need to pay a earnest deposit. I could have control of the property longer without needing to worry about the inspection period. Also when you assign a deal you still have secondary liability if the assignee backs out. You don’t have that liability when you do it this way. Also this way you can put your deal on the mls and get more exposure for a easier sale. Yes this method still has some cons such as I now have a fiduciary duty to the client. But with wholesaling it has the ethical problem of stealing to much money from the sellers equity. There is only so much value someone can add to buying and selling a house without doing anything else. For this problem that is why I set up as 5000 base and then more if I could find a buyer at a better price I would set the net listing pice at what I would buy if it was a wholesale. I wouldn’t be trying to make 100,000 off the deal as that would be a conflict of interest. As long as I don’t rip off the seller this won’t be a problem but i live in a small to medium size town. If I was ripping people off. Word spreads around so I wouldn’t want to do that as I would be worse off in the long run.

Hello everyone I think I’ve come up with a way to kind of bring wholesaling out of the grey area of the law. This won’t work in all states, but it will work in California. Step one is you need to get licensed, then instead of wholesaling people property you instead take them on as a net listing at the selling price that you would have bought it if you were wholesaling and set a minimum commission for example 5000 dollars, if it sells at or below there net price. Or instead you could do a option listing. This won’t work if net listings are illegal in your state and there is still the ethical concerns about wholesaling this is just a solution for the wholesalers who don’t have the money to actually close so they are not performing fraud and to eliminate the possibility of being classified as brokering without a license. This method allows you to get paid the same way you would via a normal wholesale but with much less risk such as not being able to flip in the minimum time frame or losing earnest money. Any thoughts on this idea