Hello,
I work for a major bank in the mortgage collection department. I am finding some motivated sellers due to overcommitment, seperation, leagl notices etc. I am wondering about the legalities, if I tell a buyer that I know of a motivated seller who wants a quick sale, and I receive a finders fee for this.Is this a legal transaction, if so, what are the tax considerations if not cash? And is there a standard price?
Personally I believe your moving in the right direction; it’s great to brainstorm creative ways to make extra money, however I think this is one better left alone.
My opinion: you need to talk to the bank you work for; the opinions of people here don’t count for anything when you’re looking at what’s accepted, legal and ethical in this specific bank.
If you are hesitant to talk to your managers – ask yourself why.
It sounds like your heart is in the right place – keep looking for opportunities, and you will find them! If you met these people outside of your role at the bank this would be a very different situation.
Sheryl
Hi Jason
Can you speak to these people directly? if so you may be able to say to them, “look, I know someone that may be able to help you .. ” etc. Watch out for you banks policies, they may not like you doing this. Due to privacy legislation, you could jsut pass on their details wihtout their permission.
However, to receive a monetarty reward for introducing a buyer of real estate may actually need a licence. You could check with the department of Fair trading in your state.
Terryw
Discover Home Loans
North Sydney
[email protected]Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
There is thinking outside square and there is unethical, personally I would put this in the latter catergory.
BC
Jason, unless you have specifically spoken to the people, DO NOT GIVE OUT THEIR DETAILS!!!
It is strictly a privacy thing and it will cost you probably everything you own if you do. I sounds like a brilliant idea but I can tell you now, I wouldn’t want my details passed on to someone and taken advantage of just because of my financial situation.
I worked in the telecommunications industry which has quite strict privacy laws, I can assume banks are the same.
Wouldn’t you feel awful if the banks client was absolutely raped of their property for a pathetic price just because of their cicumstances? I know I wouldn’t sleep at night.
That’s my two sense. Great idea, bad for litigation and possible outcomes….
CHeers
StephSuccess is 1% inspiration and 99% perspiration.
Thanks for your feeback, I agree I think this was sort of an idea thats better left as an idea. I was thinking along the lines of just telling a buyer which estate agency they were listed and just saying you could get a cheaper than asking price, but not give any more info…Think I’ll leave it well alone.
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