subject: Beware the private lending list peddlers [print this page] Beware the private lending list peddlers Beware the private lending list peddlers
What comes to mind when you hear the word "peddler?"
Does someone with 8 fake Rolex watches wrapped around their left arm on a Cozumel, Mexico street corner yelling, mister, mister (or pretty lady, pretty lady) come to mind? Or maybe a bunch of turquoise jewelry all laid out on an Indian blanket beside the Grand Canyon with a person on watch for the Rangers and if they see one coming they instantly wrap up the jewelry and head for the side roads.
I think of an organ grinder with a monkey on a leash. Its stuck in my head from old black and white movies I watched as a kid. Whatever memory comes to mind it is typically someone that wants to get their hand on your money.
Greed. Mistrust. Hold onto your wallet. These thoughts might run through your mind.
Not necessarily a pretty picture.
Did you know we have peddlers in our business too? I call them The List Peddlers because they "peddle" a list of private lenders and they are tragically misleading real estate investors all over the nation. Frankly the education they deliver is not just poor, it is flat wrong. And they are telling students to do things that are illegal. The foundation of a real estate business is to get a solid education. We all seek out folks that have been there to deliver honest content. We want to trust them. In fact we will travel thousands of miles to get that education and spend thousands if not tens of thousands of dollars to achieve our goals. You expect the best from these trainers both in what they teach and that they give you all the facts.
It is so bad that I realized that I needed to BLOW THE WHISTLE on them for the sake of our real estate community. Folks need to get the facts so they can not end up in trouble.
Here is the bottom line, when it comes to dealing with private lenders; you are either exempt or registered per the Securities and Exchange Commission (SEC). To approach strangers, you must be registered. That is your only option. If you haven't registered and you approach strangers then you have just violated the SEC regulation.
