In a traditional sale, which is a rare event these days, the buyer’s agent presents an offer to the listing agent. The listing agent, in turn, presents the offer to the seller, who can reject, accept or make a counter offer to the buyer.

In contrast, REO (Real Estate Owned by the bank) contract negotiations take place with a bank, lender, or a representative hired to represent the lender. In contrast to a “normal” seller to buyer transaction, neither buyer or agent has the opportunity or ability to meet with the seller. Therefore, the buyer and their agent have no way of knowing whether their offer was actually presented to the lending institution, at all.

So you ask, “Why would a listing agent hide offers from the bank?” The answer is sadly cliche…”follow the money”.

Buyer agents allege that often, listing agents for the banks are also working with their own own buyers. If their buyer’s offer is accepted, the agent is paid two commissions, one as the selling agent, another for listing the property. So, if the listing agent holds back a higher offer in order to leave their client in the number one position, the agent “double dips” and earns double the money.

What can you do? Unfortunately, not much. The bank is unaware that other offers have been presented. Other buyer’s and their agents have no way of knowing if their offers were really presented, either. Usually buyers and agents are just told that their offer was rejected. Only after the closing can they see that their offer was better than the one the bank accepted and that the listing agent was also the selling agent.

If you suspect that you have been a victim of fraud or underhanded dealings, you can try to contact the lender. But, be prepared that most lenders want no contact with the public and even their own fraud departments show little interest in helping “would-be” buyers or their agents. And, as for the “listing agent for the bank”, it is highly unlikely that the  of the fraud will suddenly get a change of heart and confess.

Thank you for visiting InfoTube.net. We are here to help you buy and sell property. Please place a Free Home Listing on our Site or Search our Database for Great Deals.

Here are some of the most common scams seen in the housing industry and tips about how to protect yourself and your family.

Promise to Stall or Halt Foreclosure

Foreclosure scammers are the worst of the worst.  Like vultures, they swope down to pick at the flesh and bones of weak and vulnerable.   These companies promise to stall, avert or stop the foreclosure process.  Many families which are facing the loss of their homes interupt their “pitch” as an answered prayer.   Don’t Fall for It. 

Homeowner’s can identify these companies because they always ask for an upfront fee for their service.   In addition to losing thousands of dollars to these con men, the victims also waste precious time in working with their lenders, which means that this scam can actually speed up the foreclosure process.

Homeowner’s are advised to check with the Better Business Bureau, their lender and the Hope Now organization, before doing business with any company promising the stop a Foreclosure.  

Loan Modificiation

The state of California issued permits to real estate agents for loan modifications.  The state now has almost 600 Realtors, so far, that can collect upfront fee’s for negotiating loan modifications and short sales with lenders on behalf of the homeowner.

We have heard reports that some of these companies charge $2500-$3000 to negotiate with lenders, saying they provide more service and expertise than overworked non-profits do.

Consumers should ALWAYS be on High Alert if they are ask to pay upfront fee’s to anyone, especially when the service provider can not guarantee results.   There are a lot of starving real estate agents out there, so beware and always verify credentials before paying for any upfront service.

Where to go for Real Help.

1. Homeowner Preservation Foundation.  1-888-995-4673 
2. Hope Now    Website Link
3. Making Home Affordable. gov   Website Link
4. Your Lender
5. Beware:  Don’t be fooled into working with companies because they have official sounding names and copy cat websites.  The government recently shut down 5 companies and issued warning letters to 71 others who are operating under names that sound legit, but aren’t. 

Thank for for visiting InfoTube.net homes for Sale and Rent Website.  The website where Property Owners can place a Free Listing and Home Shoppers can Find thousands of properties seen no where else on the web.

If you had to find one single group of people to blame for our economic crisis, you’d definitely have to consider the financial products division of AIG.

They made huge, bad bets on the housing market that have cost taxpayers $170 billion…so far.¹

But get this: The Washington Post just reported that these people are receiving $450 million in bonuses—and they got their first installment on Sunday.² They destroyed our economy, and now they’re being rewarded for it with our bailout money!

President Obama has instructed Treasury Secretary Geithner to use “every single legal avenue to block these bonuses and make the American taxpayers whole.” But AIG isn’t budging—they claim that even after hundreds of billions of dollars and a direct request from the President, their “hands are tied.”

We need to turn up the heat.

Tomorrow, AIG’s executives are appearing before a House subcommittee, and we’ve got a chance to give them a piece of our minds.

Can you sign our petition and submit a question for the heads of AIG? Or better yet, an idea for how we should get our money back? If you do before 5 p.m. ET today, we’ll make sure it gets to the committee in time for tomorrow’s hearing.

Click HERE to add your name and submit your comment.   Thank you for participating.  It is our money!!!!

Thank you for visiting InfoTube.net homes for sale website. Please feel free to search our database for thousands of great deals on homes for sale and rent.