Re: Realty Services - Posted by Ed Wachsman
Posted by Ed Wachsman on March 11, 1999 at 06:38:47:
What JohnBoy says is true in principle but doesn’t quite cover all the ground. Beyond the fact that you are acting as a principal on paper I believe that it is also important to conduct your business in a way that makes it clear to all involved and to third parties that you are acting on behalf of and solely for the benefit of yourself.
I have seen many business cards and other promotional materials of investors and have heard what they say to owners/sellers that make them appear to be agents. When it hits the fan (i.e., the state agency that oversees real estate agency gets involved), I believe that investors who work both sides of the fence this way (e.g., telling the seller they will sell the house for the seller vs. telling the seller that the investor will buy it or lease it from the seller) will have a problem - at least in some states. I think that how you present yourself to the public (through words and printed material) matters.
I believe that if you promote yourself and act in a way that makes it appear that you are acting as an agent the papers showing you as a principal are going to viewed merely as a dodge to avoid licensing.
I believe your words, deeds, and actions have to be consistent with what you are purporting to be.