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Unformatted text preview: rs or note owners in connection with loans secured by (directly or collaterally) by liens on real property or business opportunities. Selling / Buying – Selling, offering to sell, buying, offering to buy, exchanging or offering to exchange a lien secured by real property or a business opportunity and performing services for the holders thereof. Acting as a Principal – Acting as a principal in the business of buying from, selling to, or exchanging with the public, real property sales contracts or promissory notes secured directly or collaterally by liens or real estate or making agreements with the public for the collection of payments of for the performance of services in connection with sales Contracts or promissory notes secured by real property. BROKER BENEFITS
Submission to the DRE when Broker Benefits – When a real estate broker, who acts within the scope of the above, proposes or causes the solicitation and acceptance of funds to be applied to the purchase of a loan transaction where the broker will directly benefit (other than commission and costs), the broker must first submit a statement to the Department of Real Estate. The statement shall include: • • a copy of the statement given to the person solicited, that it is being submitted pursuant to Business and Professions Code 10231.2. STATEMENT TO PERSON SOLICITED WHEN BROKER BENEFITS
When the broker benefits from a loan transaction, the broker will deliver, or cause to be delivered, a completed statement not less than 24 hours before (whichever is earlier) either the acceptance of any funds or the execution of an agreement to obligate the person to make the loan or purchase. The statement must be signed by the prospective lender or purchaser and by the broker (or a salesperson on the broker's behalf). The broker must keep a copy of the statement for four years. The contents of the statement shall include, but is not limited to: Dynasty School (www.dynastySchool.com) 10-7 REAL ESTATE FINANCE
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This note was uploaded on 12/30/2010 for the course SOC 101 taught by Professor Zhung during the Spring '10 term at Punjab Engineering College.
- Spring '10