REAL ESTATE COMMISSIONER WARNS OF “OPPORTUNISTIC PREDATORS”
INDUSTRY NEWS, SHASTA COUNTY, TIPS FOR SELLERS
January 24th, 2009
Jeff Davi, California’s Department of Real Estate (DRE) Commissioner wants homeowners experiencing tough financial times to not “jump at the first opportunity for a financial remedy” out of desperation. He cautions that there are many predators who “are looking to take advantage” of homeowners that have suffered a job loss or other personal circumstances that have not allowed them to keep up their mortgage payments.
His department is receiving many complaints from homeowners that are falling victim of false promises of foreclosure avoidance. He wants the public to be aware of the following:
- Once a Notice of Default (NOD) has been recorded against a property, it is generally illegal to charge an advance fee or require payment to assist with a loan modification or workout
- If a NOD has not been recorded, then a California real estate licensee can collect an advance fee only if you are give an “advance fee agreement” which has been reviewed and approved by the DRE
- DO NOT PAY a fee to someone that knocks on your door, solicits you by mail or contacts you by phone offering to negotiate with your lender on your behalf. First go to DRE’s website www.dre.ca.gov to confirm the person or company you are in contact with is approved for such services and is properly licensed and their advance fee agreement has been reviewed and approved by DRE
- If you determine they are not licensed or their advance fee agreement has not been approved or if they are not lawyers offering legal services, do not give them money, look elsewhere or consider hiring an attorney
Jeff concludes by quoting the old adage-if the offer sounds too good to be true, it probably is!
530-224-6767 or 530-941-7492
BRAD GARBUTT
REALTOR/BROKER ASSOCIATE
REAL ESTATE PROFESSIONALS GMAC
QUARTER CENTURY LOCAL REAL ESTATE EXPERIENCE
