Property Manager failed to deposit rents for 6 months

11 Replies

Hi all!  I am posting this to help a group of friends who invest in Florida.  They are foreign investors investing in Florida.  This property manager is a "guru" who conduct seminars about investing in US real estate in Malaysia, Singapore and Australia.  He sells real estates to students and manage the real estates for them.
He has not deposited the rents since Jun 2014 (for 6 months).  The investors made enquiry at Florida Department of Business & Professional Regulation, but was told that there's nothing the Department can do?!  One of the investor talked to an attorney and even lodge a police report, but no one seems to be able to help.

Does anyone of you have similar experience, or have any suggestion?

Thank you in advance.

DPBR probably can't do anything because the guy has no license.  What city?  Your friends could immediately hire another PM.  Suing this guy may, or may not, make sense.  Once you're sure it's fraud, please post his name here.

@Wayne Brooks , thank you for your reply.  I think the properties are in Fort Myers.  

Doesn't the Florida Real Estate Commission regulates, impose fine and take legal action against individual/company that perform real estate transactions without license?

I don't think suing this guy make sense, his company may just be a shell company.  I wish I can post his name and company, but I can't because I don't invest through him.  My hubby and I invest in Nebraska and manage by ourselves.

Thanks again!

If he is licensed, the DBPR will take action against his license. If he is acting as a Property Manager without a license, the DBPR will still go after him. A formal complaint should be lodged, copy to Florida Real Estate Commission. It is against Florida Statutes to manage properties without a Florida Real Estate license.

Typically, they will force him to apply for a license. This will probably shut him down. 

Please don't let this lie unchallenged. 

I just did a license search, and found out that the company is licensed.  Surprisingly, the "guru" is a licensed Sales Associate, he always mentioned that he's the owner of that company, so I always assume that he is the broker?!

Does anyone know which department and what action this group and investors can do to get their money back?

Thanks in advance.

It would be nice if you posted his info here. I can refer to you a well respected PM that has hundreds of units, many many years of experience, and I believe very strong moral character. He handles properties in Lee County including Ft Myers. PM me.

John Thedford, Real Estate Agent in FL (#BK3098153)

Brian, thank god the real estates are REAL.  These investors actually made one or more trips to Florida to hand-pick the real estates in the beginning.  He made money from conducting  seminars (that costs $6999), then sell properties, then provide property management service.

John i can't post his name here because this is not my personal experience.  I only hear one side of the story (but there's at least a dozen of the investors).

Originally posted by @Pei Pei Siau-Cronin :

I just did a license search, and found out that the company is licensed.  Surprisingly, the "guru" is a licensed Sales Associate, he always mentioned that he's the owner of that company, so I always assume that he is the broker?!

Does anyone know which department and what action this group and investors can do to get their money back?

Thanks in advance.

If they're a license salesperson / broker  then your friend would have a certain timeframe to file suit to get their money back from the real estate recovery fund. Check the Florida Real Estate Commission website, it should provide the statute to file the maximum amount to be recovered by the claimant and so forth. 

Kudos,

Mary 

Hi Mary, thank you so much for your message.  That's  really helpful to know that they have the chance to recover their lost.

@Pei Pei Siau-Cronin  

If the Guru is a licensed sales person then he should be working for a Broker and if the broker is one of repute they will have E and O insurance.. Now E and O may not cover outright theft.. But a complaint lodged with the DRE WILL bring action and it may include criminal charges.. I have seen PM's that steal rent money in other states get jail time this is very serious and they will lose their licenses as well.

In addition if you read up on Singapore you will note that that government has gone after non licensed folks for selling US properties to Singapore residence's.. 

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