Unfair/Fraudulent sales tactics by REA/REO

The practices I have been subjected to during my recent home buying experience are disgusting! My husband & I have bid on over 30 homes, with an FHA pre-approval in hand, at asking/over asking/WAY over asking/and sometimes in the market range of below asking for properties for a year. Only 2 agents have actually contacted our agent, without promting, to respond as to an acceptance/rejection/or final & best on a multiple offer situation. ONLY TWO!!!! We have been told we need a PRE-approval with the lender designated by the seller/BANK in order to even submit an offer. WHAT?! I have a pre-approval in hand, and, will send it to you, with the loan officers contact info to forward all docs, and, still they won’t accept a BID!! A pre-approval from a BANK, to a BANK, with the same criteria is not sufficient?! The last straw was today. Two days ago a property came on the market publicly and was so new it listed at 0 days on the market. I called my agent. He contacted the seller, and, they wanted a pre-approval done with Prospect Mtg before an offer could be submitted. My agent asked to contact the Mtg. Co, as he was aware my husband & I would not be ok with this. The loan officer was very friendly, per my agent, and agreed that all she needed was to contact our loan agent for docs, and, we would be okay to submit an offer. The next day, our loan officer contacted my husband, and, said he was willing to send them anything they needed but, why would we be willing to go thru another pre-approval as that is what the selling mtg. co. agent was going to do? My husband said forget it don’t send them anything and called our real estate agent right away. Turns out, the “friendly” loan officer at the sellers mtg. co., neglected to reiterate, regardless whether she talked to our loan officer or not, she was still going to pre-approve us(run our credit) to get the offer submitted. This was yesterday morning. I found out today my real estate agent went ahead and submitted our offer anyway. GOOD FOR HIM. I’m glad, after what I found out today. First thing today, the property comes up CONTINGENT. WOWEEEE!!! Man, those banks move fast now, don’t they. It took weeks, MONTHS & many, many phone calls to jerk even a rejection/non-response out of most of our offerers unless we found the property listed publicy as “SOLD” first. Something is definitely wrong here. I aint stupid. I aint even ignorant, but, can’t just put my fingr on it…ha ha! This is just the latest in many instances of unfair tactics used by the sellers/banks/selling agents/mtg. co.’s. The best ones are when you submit an offer on a property that has been on the market for less than 8 hours, and, you get no response at all, but, the next day it’s CONTIGENT or PENDING. How the heck did that happen I wonder? Hmmm……. is coincidentily… accidental that you listed a property for sale that…maybe….really wasn’t a public offering….for…..sale? I have had numerous, NUMEROUS, similar experiences. I am in this for 1 year, and over 30 offers. As of this day, I have decided to take action. You see, if these practices are left unchecked, and, to continue, when the bank owned/foreclosed/short-sale’s are left in the past, the pratctices they have come so comfortable with that bring no repercusion become common and accepted to the realtors AND the financial institutions involved. This is wrong. I say FRAUD. I say BAIT&SWITCH. I was subjected to an instance similar to Sherry McDonalds’ & Taryn Stults, and, many, many other situations which are completely illegal. Our economy is in a bad way right now, but, this is NOT the “WILD WEST”. Even then we had a common respect and lawfulness. We are the United States of America. We have rules that “we” vote on to keep the honest, honest. I’m pursuing that. Everyone/entity/bank has the right to sell their home to whomever they choose, but, to bait an unassuming individual to invest their time, effort, and, subject their credit score to REQUIRED pre-approval status thru the lender of THEIR choice, even when a pre-approval is in hand by the bidder, on the premise that this is the ONLY way your offer will even be C O N S I D E R E D, AND, to have no confidence that your offer will even be handed over by the listing agent for the sellers inspection is terribly wrong!!! After over 30 offers in 1year, I am glad I know LOTS about my credit rating. My & my husbands credit rating of over 800 could be in the toilet right now had I not been savvy enough to not go for this tactic. I am appalled. This has got to stop. I would like anyone to join me that has real, VALID proof of these instances being inflicted on them also. If we don’t change it now, what’s going to become the norm in our near future? My word, when I do get my next home, and, want to or have to sell it in the future, what am I going to be up against? That’s a scary thought. Way more scary than 7% right now. I can’t live with that. Please contact me by replying to this. I am serious. My realtor, his lawyer, the Department of Realtors, are all on my side, but, I need real people to stand with me to get to the masses. I’m sorry for your pain as much as I feel my own. I’m gonna keep going. It’s my nature. All the best. Oh, and for pete’s sake, don’t let ANYONE run your credit as a REQUIREMENT to BID on a home if you are allready aware of your credit rating/financial status, or have a pre-approval. If you dont’, then proceed with caution. Every time someone runs your credit, your lowering your credit score. BEst.

This post was submitted by jpulido.