All Forum Posts by: Justin Montoya
Justin Montoya has started 1 posts and replied 6 times.
Post: Has anyone done Jerry Norton's Fast Track Program?
- Posts 6
- Votes 2
Quote from @Lucianna Winger:
Quote from @Kathryn Morea:
Hi, I thought I'd chime in here. I have not done any of Jerry's programs, but I do watch his youtube videos which you can learn a lot just from watching those.
I must say I disagree with this statement, and perhaps I just don't understand:
"...their companies "Proof of Funds" which I now know is not a valid/legal contract unless it was written and signed off by an attorney. An individual cannot write a contract without a license to practice law!!!..."
Hogwash, individuals write contracts all the time. Real estate agents as well. These are not attorneys. There is nothing wrong with writing a legally binding contract to sell or purchase a piece of real estate using a contract written at the kitchen table. Further, you can act on your own behalf or on behalf of an LLC and use that LLC's proof of funds (providing you are the owner or authorized to do so). I have personally made HUNDREDS of offers on properties over the years and only used attorneys when required for closing or for litigation. I've used LOI (Letter of intent), I've used home drafted word documents, I've used CAR (California Association of Realtor) offer forms etc. Any one of those can work to get you into escrow or "under contract" so you can then get the closing attorney/escrow/title or what have you (depending on jurisdiction) involved. That said, if this is a particularly complex deal, get an attorney to review if you like, but don't assume you can't be a real estate investor without an attorney drafting every purchase contract.
Maybe you haven't gotten in trouble yet because you've been able to perform on the contract with little to no pushback, just lucky up until now. I am taking Champions real estate agent license course for Texas and explicitly states that only someone with a license to practice law can write contracts. It's a fact not an opinion. Go ahead and do whatever you want, but these are the rules I have learned in the state of Texas. I'm not talking about filling in the spaces in contracts, I'm talking about writing what is legal in a contract vs. what is not, which only someone licensed to practice law would know as a fact & have precedence over creating the structure of such contract. I am not talking about verbal offers either, I'm talking about the "Four corners rule" with ink to paper (or via the internet/Docusign) I'm not going to waste my time telling every little detail of the law of contracts here in the state of Texas & Federal law, you can get into class for a real estate license in your states you practice in and learn yourself.
Also you watch FREE VIDEOS that has nothing to say about actually paying to be in the fast track PROGRAM. which is basically no different than what is offered for free and that is just ridiculously manipulative. We don't know really what we are getting into until we really see how everything works, wait for the first zoom meeting etc... Then you find out it's not what you were looking for at all.
if you don't agree, go ahead and join. You'll know for yourself.
Just curious, did you ever go back and ask the folks at Champions, from whom you got this [mis]information, whether your interpretation was accurate?
Post: Help understanding agent disclosure and brokerage rules
- Posts 6
- Votes 2
Quote from @Richard F.:
Post: Help understanding agent disclosure and brokerage rules
- Posts 6
- Votes 2
Quote from @William Hochstedler:
Keep interviewing brokerages. There is no requirement in Utah that, when acting as a principal in another state, you need to run transactions through your Utah brokerage.
However, your wholesaling and other marketing activities may be prohibited or require a license in other states. There's an outside possibility that you get some sort of sanction in one of those states that you would have to report here. I don't see how that's very much exposure to a broker though.
Bottom line is you need a broker who you can be transparent with who supports what you are trying to do or can point to the statute or provision of why it's prohibited.
Post: Help understanding agent disclosure and brokerage rules
- Posts 6
- Votes 2
Abel, thank you for that. I was guessing that, mostly due to E&O, the brokerage would have to be made aware, but the broker was telling me they would have to be a part of a personal transaction where I was not acting as an agent, just purchasing in my personal capacity. So, are you saying that even in an out of state transaction, in a state where neither the broker, nor I am licensed, nor working in capacity as an agent, it is common for the brokerage to have to be a part of the transaction?
Post: Help understanding agent disclosure and brokerage rules
- Posts 6
- Votes 2
Richard, thank you for taking time to reply. I understand that I must operate under a broker and that any RE transactions I expect a commission on must go through the broker, as the broker is the one licensed to receive and disperse them. To clarify, let's say I find a property in South Carolina and submit an offer to purchase myself on a property I intend to rent. I ask the listomg agent to represent me and take 100% of the buyers agent commission because I'm hoping to create a network of agents who want to work with me. This is not dealing with my license at all, though I would disclose verbally and in writing that I'm licensed in Utah. Are you saying I would have to involve my broker in this purchase?
Post: Help understanding agent disclosure and brokerage rules
- Posts 6
- Votes 2
Hello all, I'm an aspiring investor in Utah and have decided to get my RE license. My plan is to make calls to the east coast (SC, GA, FL) from 630-830 my time every morning, trying to lock up some wholesale deals and maybe some subto buy/holds & wraps. Then I'll work "normal" agent hours throughout the day (830-7 - or later as needed).
In process of selecting which broker I will work under. Yesterday I interviewed a broker who said EVERY transaction I touch concerning RE - even out of state and in personal capacity - has to go through whichever brokerage I select.
I tried to clarify and ask if that was just his brokerage policy or a blanket statement. He was ADAMANT that wherever i go, it has to all go through the brokerage, even where I'm not licensed out of state acting under my separate LLC. That doesn't sound right to me. Can anyone give some insight here?