Brokers who commit insider trading

**reinvestor1** · 11-11-2010, 06:28 AM

Has this happened to anyone else?
I have been trying to buy several properties and normally don't get the really good deals. Come to find out some brokers are buying bank properties for themselves instead of submitting all the offers they receive.
By what I understand, real estate brokers who list properties for bank are not allowed to buy those properties. But this is not what I am noticing. I have found that some of these broker are buying the properties under side corporations for themselves and not submitting the other offers they receive from other realtors.
I found this out when I started to do some homework. I though my realtor was lying to me when i kept seeing the same properties i had made offers on were still on the mls, but my realtor said that the bank had accepted another offer.
Apparently these brokers have to keep these properties on the mls until the bank signs a contract, but when the bank only gets one offer then they think that no one else is going to bid on the property, and they take what they have. And actually what happened is that the broker never submitted the other offers so the bank would take their offer.
I think this is illegal and these broker should be investigated and something done against them. Not just are the banks loosing money by having to take lower offers, but the buyers are not getting a fair shake at things, and the broker is being unethical.
I found this with atleast one broker - mencia realty in florida.

**Greg** · 11-11-2010, 10:31 AM

Instead of coming on here and complaining about it take your proof to the Florida real estate commission and get the problem fixed.

**thebigone** · 11-19-2010, 07:29 AM

Originally Posted by reinvestor1

Has this happened to anyone else?
I have been trying to buy several properties and normally don't get the really good deals. Come to find out some brokers are buying bank properties for themselves instead of submitting all the offers they receive.
By what I understand, real estate brokers who list properties for bank are not allowed to buy those properties. But this is not what I am noticing. I have found that some of these broker are buying the properties under side corporations for themselves and not submitting the other offers they receive from other realtors.
I found this out when I started to do some homework. I though my realtor was lying to me when i kept seeing the same properties i had made offers on were still on the mls, but my realtor said that the bank had accepted another offer.
Apparently these brokers have to keep these properties on the mls until the bank signs a contract, but when the bank only gets one offer then they think that no one else is going to bid on the property, and they take what they have. And actually what happened is that the broker never submitted the other offers so the bank would take their offer.
I think this is illegal and these broker should be investigated and something done against them. Not just are the banks loosing money by having to take lower offers, but the buyers are not getting a fair shake at things, and the broker is being unethical.
I found this with atleast one broker - mencia realty in florida.

Did you expect Brokers and Agents to act ethically? Please don't be so naive that you can't see reality.

Take Greg's advice and turn them into the State licensing board. Make sure you forward a copy of the complaint to all of the local news media outlets as they might want to run a story on it as well!

**markbrian** · 11-19-2010, 07:47 AM

I have to agree with greg and thebigone. As an ethical REALTOR/real estate agent, I would appreciate it if you and any other person that felt they had been treated badly or that an agent acted illegally or unethically would report the problem to the appropriate authorities.