Some Listings Are Not What They Seem - Broker Beware!

When I first started out and I had no listings, I came across this woman who owned a coffee and sandwich shop. She gave me this sad story about how her ex-husband had gambled all their hard earned money away and then taken off on her and the two kids, never to be heard from again.

Who wouldn't feel bad, right? Anyway, then she tells me that she just has to sell this restaurant because her kids really need her to be home with them after all the drama. She needs to sell this less than a year old business so bad, that she wants to reserve the right to sell it herself and not pay me. Now, of course, I would "just say no" but back then I really needed listings so I reluctantly agreed.

Just before I left, she said something about not wanting to go through escrow. I told her that if I procured a buyer that they would definitely have to go through escrow because that is the law in this state. She didn't agree but she dropped the subject and I left with the listing. I did send a lot of people there but she was asking a lot for a new business with almost no equipment and a funky shared set up with the tenant next door. So after spending good money advertising her place

I call her one day to just check in with her and she tells me she sold the place and the new owner is in training! I was so pissed off, I said to her,"Where you ever planning on calling me to bother telling me that you found a buyer?" She thought that I should have been calling her. At that point I didn't care I was glad to get rid of her but before I hung up I asked her if she went through escrow and she said that didn't. Every bell was going off that she just wasn't quite right but like I said I was glad to get rid of her.

One day, a couple of weeks later, I was having coffee with an associate and my cell rings for the tenth time and I see the number 714-000-0000 well that made me curious so I excused myself and answered it. It was the Justice Department! It turns out that this woman is a professional con. She and her husband were running a con out of the place he was working and now he's in prison. She owes people money all over the place and she declared bankrupcy while she had this business (which she declared as defunked) and then went and sold it with notifying the trustee. That, lady's and gents, is a federal offense and she is in a whole lota trouble. This woman obviously has no regard for her children's welfare because now they are going to be left with no parents but in this case that might be a good thing. Anyway, I told the Justice department my involvement and told them I would co-operate with them in anyway necessary.

Oh, and for the people who bought this place, they are about 70 years old and this was their savings. She owes vendors all kinds of money so legally because she didn't go through escrow they can come in and taking anything they want to satisfy their debt.

Ignorance is not an excuse for the law and I'm sure they knew but they thought they would save themselves the $2,000 escrow fee. Now it's going to cost them a lot more than that.

I also learned a good lesson, listen to the little voice in your head when it tells you to not take some listings.