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DEREK
115 Posts |
 Posted - 03/19/2005 : 05:41:18 AM
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DISCLAIMER: This topic contains co-broker related content. Please note that the term co-brokering is often used in inquires that involve illegal fee splitting or kick backs. This site does not condone these activities. Details related to Respa Section 8 violations can be found here. If you feel the content of this topic may be in violation of any law, please report it to the moderator by clicking the red notification icon above. Thank You.
HELLO ALL,
I WAS WONDERING WHAT DOES EVERYONE THINK ABOUT THIS SUBJECT?
IT SEEMS I HAVE BEEN DOING ALOT OF THIS LATELY.ONLY BECAUSE OF THE POOL OF PRIVATE INVESTORS THAT I DO BUSINESS WITH.I AM A PRIVATE HARD MONEY LENDER MYSELF SO I DO GET MY OWN BUSINESS FROM THAT END.THE INVESTORS I WORK WITH ARE MORE FLEXIABLE THEN ANY COMMON LENDER IN THE MARKET ON THE COMMERCIAL SIDE,AND THE RESIDENTIAL SIDE.WOULD YOU GIVE UP THIS SOURCE TO EVERYONE,OR WOULD YOU KEEP CO-BROKERING DEALS?YOU GUYS KNOW AS WELL AS I DO IN OUR BUSINESS ITS NOT WHAT YOU KNOW,ITS WHO YOU KNOW TO GET TOUGH DEALS TO THE CLOSING TABLE.ANY COMMENTS WOULD BE GREAT!THANKS
DEREK ROGERO |
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midas
4409 Posts |
Posted - 03/19/2005 : 07:57:32 AM
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| derek, as long as you are fair and consistant, keep doing what you are. private lenders dont like a bunch of yahoo,s calling them anyway. the reason i have offered to co-broker anyones deal on brokers outpost for $500 is due to the fact that most brokers are state specific and their lo's are limited to local leads. also others that have offered the same service are looking for anywhere from 50% to .50 points + $1500. i am tired of brokers ripping off lo's, and also am tired of brokers and greedy lo's using this forum to get free business. by posting " send me the deal and i will get it done" instead of offering a remedy. i will not only get it done for $500 broker fee, but i will have you work on it and learn how to do the deals yourself. i will also post the experience for everyone else to learn from. i love brokers outpost, it gives me a place to stimulate my mind. but if nobody is asking or answering questions and all they are doing is looking for free leads by posting i can get it done, then how do we improve. so you keep your niche as long as you are ethical and fair, and i will keep co-brokering to the traditional lenders for $500 per loan in 48 states. as you know derek, i have called you myself for help. we can all network together to standardize the industry, better our services to the client, and weed out the riff-raff. keep on posting derek, thanks Paul Slazas 916-628-5501 www.getmoremoney.biz |
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jeffg
1031 Posts |
Posted - 03/19/2005 : 09:40:48 AM
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I agree with Paul. If it ain't broke, don't fix it.
See greed is a funny thing. Most of us will say, "I'm not greedy." But, when faced with ethical dilemas of which side of the greed is someone on? Many brokers get too greedy or, with our self-absorbed society we live in today, they only think about their side. My degree is in Advertising. All good Advertising should answer the question, "What's in it for me?" Most ads don't answer this from the customer's perspective, and therefore it doesn't work.
In this business, when someone is new, you pretty much don't care about the splits, fees, etc., when you first get hired. Why? Because you don't know that you don't know. A few deals get funded, then you see all the work and crap a loan officer has to put up with from management and the customer, and you start thinking every time the pay voucher comes by, "Man, this isn't fair."
There's a parable in the bible (don't ask me to find it, but I know it's there, I'm just not a theologian in scripture) where the wealthy landowner hired people all day. He paid everyone, whether they began in the morning or at the end of day, the same rate of pay. At the end of the day, when the owner paid everyone, the workers that had worked all day, got paid the same that didn't. Those workers complained to the "boss," and the boss said, "Did I not pay you what you had agreed to?" The workers replied, "Yes, but we worked longer/harder." The owner replied,"Am I not able to pay others what I'd like?"
See, this parable (I don't care if any of you are religious or think I suck because I am-----too many "politically correct" people in this society not willing to say who they are or not!) is the "jist" of this subject of pay, co-brokering, pay comp plans, etc.
In commission sales, it gets hard to work for others and co-brokered deals or partnerships, as YOU SEE where the money comes from! This is why I don't like partnerships or splits, because someone ALWAYS feels they did more, someone feels they did less, etc.
It's amazing to me that one will work at a corporation, know nothing of the profits, and work for a salary for 20 years and be content. But, put them involved where they know the profit of a deal, and now it changes their "worth."
This is why I work by myself, most of the time, on my own originations. Because I don't want to feel "jipped," etc. No one for me to blame but myself if the deal doesn't go through, etc.
I'm not saying anyone is greedy here, but it is the right term. Once you know the profit of a deal, your brain, subconciously, starts "evaluating" your participation in the deal. And after looking at EBAY, and housing prices in CA, the way people "value" their assets----people need a course in value!
I'll get involved in ANY deal that I think is fair on everyone's side. The problem, I find, is others that I've gotten into deals with, don't put forth the same amount of research, etc. to determine theirs or my worth in the deal.
I wouldn't mind getting 1% of that $4 Billion that one guy on the post is claiming. I'm not greedy, but am a business professional. When I smell greed, and that's all too often these days, I don't want to have anything to do with the deal.
I've seen it thousands of times in my life-----a lot of effort going in to changing jobs, industries, all to make more money. If people step back and re-evalute their current deal, maybe it might be ok.
In this industry, if the company is paying for the lead, then one shouldn't expect more than 25-50% of the deal max! If someone brings their own deal, lead generation, etc., it should be as high as that person feels it is worth, as THEY were the one that brought the deal in.
So, if I can help, let me know. I bring to the table, excellent closing skills, very good business reasoning, peacemaking abilities when someone gets pissed off, integrity, and strong work ethic. If anyone needs these skills, I'm open for lease |
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liverichly
6079 Posts |
Posted - 03/20/2005 : 10:16:19 AM
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| I'm wondering how co-brokering is done when one of the two parties isn't licensed in the state it's being originated from. All of the sources I've asked say it's illegal if one party is not licensed in the originating state.. are you guys offering this service accross state lines or only in states where both parties are licensed? |
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jeffg
1031 Posts |
Posted - 03/20/2005 : 10:41:36 AM
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You are correct in the licensing. We do not live in the United States, but the Divided States! I didn't realize that the dime, nickel, or penny is of a different currency in Maine, FL, and CA. Did you?
Our mortgage licensing laws suck! It only benefits the big banks, who bought the politicians to make up these crazy laws.
I'm only licensed in CA for the time being. I should have Florida by July, and am bringing on more by the end of the year.
I think Paul (Midas) is licensed in other states.
Like mentioned before, make sure whomever you choose to co-broker with, that BOTH of your expectations are met BEFORE you proceed. Otherwise, someone's going to feel "jipped" and the partnership falls apart through greed and mis-trust.
Good luck,
Jeff Gruhler
Broker
American Fidelity Mortgage |
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netskrill
211 Posts |
Posted - 03/20/2005 : 1:29:39 PM
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I co brokered a loan one time with a broker friend who had to actually co-broker it through someone else. By the time the loan funded and I was paid, my total check ended up being like $250. 
Midas, I just sent you another lead. Let me know how it works out.
Paul
Paul@NetSkrill.com
Get FREE Mortgage Leads to your email at http://www.netskrill.com/members/signup.php |
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midas
4409 Posts |
Posted - 03/20/2005 : 1:37:58 PM
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| got it and have made the call. i took an application over the phone and will let you know if it funds. it is on a new purchase. when i co-broker a deal i charge $55 to the client for storage of the file, $16 to the client for credit report, and $500 to the client for broker fee. the rest goes to you. www.getmoremoney.biz |
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haunanii
183 Posts |
Posted - 03/21/2005 : 09:43:33 AM
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| I would respond to the person individually, especially with hard money. The object of this forum is to offer each other our expertise and experience, but no one wants someone else in their kitchen. I always check to see if the question is coming from the San Francisco Bay area. Dennis@dreamhomeloan.com |
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