Expert Advice Needed - Posted by Ryan Middleton

Posted by Jason-DTX on November 04, 1998 at 22:24:24:

Check out the cash flow forum on this site. Its just up your alley.

Expert Advice Needed - Posted by Ryan Middleton

Posted by Ryan Middleton on November 04, 1998 at 18:36:13:

I am very interested in flipping mortgages. However, I have spoken to an attorney and he started to talk about securities laws, broker’s license, and state licensing. Does any of this sound familiar? Is all of this necessary for just flipping mortgages?

Licensing - Posted by John Behle

Posted by John Behle on November 06, 1998 at 14:24:54:

It is crucial to know your state. There are licensing laws in some states that are important.

How you go about the business is the key in some areas. You can tread on licensing and securities laws if you do it one way and avoid them if you do it another.

As Bud mentioned, brokering or flipping notes to an institution is usually OK (but I still need to know your state). Selling to private investors can be dangerous - depending how you go about it. I rarely ever sell to private investors - even if they claim to know what they are doing. Check out the cash flow forum for information about: brokering vs investing, financing notes, dealing with private investors, etc.

Re: Expert Advice Needed - Posted by Bud Branstetter

Posted by Bud Branstetter on November 05, 1998 at 12:46:48:

If you contract/option to buy a note and assign that contract/option to an institutional buyer you should not have a problem. If you buy as an individual and resell you again should be clear.

Where you do get into trouble is when you try to resell to the public.

Help me understand - Posted by Potash

Posted by Potash on November 04, 1998 at 23:09:15:

You have not mentioned what State you are planning to work in. Evidently you believe that the laws regarding note Brokering are the same in all 50 States. Others ask similar questions without mentioning where they are from. Why do you do this? Are you unaware that almost all Business, Contract and Real Estate law is made at the State level? If so, why? Have you gotten this impression from some real estate course? I don’t understand!