Posted by Philip on September 03, 2003 at 20:55:03:
And too widespread also. Realtors abuse their priveleges more than they used to, I am afraid.
Ethics of “Owner Occupied” Financing - Posted by Loren Eaton
Posted by Loren Eaton on September 03, 2003 at 16:04:07:
Hello All,
I’m currently working with a real estate agent in Colorado Springs, CO, on a lease/option deal. For financing, he’s suggesting that I get an FHA owner-occupied loan, and then “move out” at closing and immediately option the property to a waiting tenant.
Here’s my question: Is such financing ethical? It seems one is pledging to live at a property one has no real intention of actually living at. Lenders’ comments would be greatly appreciated.
Loren Eaton
Colorado Springs, CO
Re: Ethics of “Owner Occupied” Financing - Posted by Jeramy
Posted by Jeramy on September 03, 2003 at 18:42:40:
BTW. I forgot to mention that I am a broker in Littleton, CO.
If you want to meet some ethical and professional realtors I’d be glad to refer some to you.
I’d also love the opportunity to work with you on future deals. I can help you to make money ethically and legaly:)
I specialize in working with investors.
Re: Ethics of “Owner Occupied” Financing - Posted by callitgood
Posted by callitgood on September 03, 2003 at 17:54:23:
Don’t do it and run away as fast as you can from this realtor - if you choose to do it, he probably has his own mortgage guy to assist in this “fraudulent” loan. By suggesting this “idea”, he’s shown you where his code of ethics stand
Re: Ethics of “Owner Occupied” Financing - Posted by Philip
Posted by Philip on September 03, 2003 at 18:07:58:
I am a lurker on the finance board because I am green in this area. I want to say it is good to hear a person give advice with moral fiber. And to hear another investor question a situation. Creative RE sometimes “forgets” to stay honest.
Philip
Re: Ethics of “Owner Occupied” Financing - Posted by Jeramy
Posted by Jeramy on September 03, 2003 at 18:37:58:
As a mortgage broker I have had people ask me to do the same thing and I refuse. It is FRAUD! That realtor should lose his license. You should report this realtor to the board of realtors. It is unethical and illegal.