Hey DG fam. so yesterday we got a call from an "investor" who told us that he is looking to buy rentals... then we decided to meet. So today at noon we met and it ended up beign a freake CODE ENFORCER!
He lied to us to be able to meet with me and my partner!);
So he tells us that he has been trying to get a hold of us but couldnt??? He says the fine for putting up bandit signs is $100 each sign and we have 30-45 signs out their still! He then tells us for us to just pay $100 and we have 15days to pay that fee and remove all the signs... wait its not over yet...
He then calls a District attorney to talk to us because i was asking more questions about how we can market and whats legal and so on. The DA happened to be waiting in the parking lot. The DA then tells us that in CA it is illegal to Make "investments" without a license and that we cant use investors money and soo on... he then asked what exactly are we doing? I responded by saying we are REI's and we do wholesaling/assignments and double close on properties. He didnt understand much till i had to explain how it works and he didnt seem to understand double closings??
I basically said we are not "handling" the investors money... if anything we will use transactional funding. wich is NOT their money!.. Afte this "meeting" we where a little bummed out); but they did give us advice on how to do this the "legal" way.. and they wished us good luck..
Have any of you guys ever delt with a similiar situation? if so how did it go.
Robert.
yesterday is history, tomorrow is a mystery, but today is a gift. That is why it is called the "present."
"Be not afraid of growing slowly; be afraid only of standing still"
Andy the code enforcer said he tried to reach us but we didnt answer? wich we probly didnt but thats because he called when we where at work and he used a restricted number and he didnt leave any voice messages. He told us that he was trying to reach us for over a month. So he maybe thought that we where some frauds idk i think the only reason why he brought the investigator was because we where looking for "investors" or something like that?
yesterday is history, tomorrow is a mystery, but today is a gift. That is why it is called the "present."
"Be not afraid of growing slowly; be afraid only of standing still"
Just remember that the Supreme Court has ruled that law enforcement is under no duty to tell the truth in the pursuit of a crime. That is why they can lie to an accused and not be held liable. I think lying to meet the perpetrators in person falls under this purview.
Always Looking to Acquire Houses | Always Looking to Amaze Investors
Good point. As I said, I'm not an attorney . I just think it odd that code enforcement would fall under the same category of rights as LAW enforcement. That's why I have an attorney I check with before I do anything legal.
Andy Sager
DG's AndyS
CFIC member
Andy Sager
DG's AndyS
CFIC & IE member
2013, 2014, 2015 & 2016 EDGE Alumni
Okay, some more info coming out.
I'd check but just because the officer apologized for getting you under false pretenses does not make his actions legal. (That's your attorney's job to clarify this, tho. As Trustpoint(Bill) said, this might fall under the Supreme court ruling.)
He said he called several times, do you have proof of this? Did you tell him that you would have called him back if he had left a message and that his calls seemed just as fishy as your not answering? Just because he had your cards, How did he get them? More importantly, What do your cards say? Do they say something that implies an illegal activity? Do they say something that, according to your local laws, needs a permit or license to perform. Sometimes, it's not what you say but how you say it.(But in this case, What you said.) Sounds like you're gonna need new cards
All in all, the good thing is that you didn't get arrested. Another plus is you were given ideas how to do this legally. My suggestion, get the straight "poop" and adjust your tactics to comply, profit and succeed .
I'm not trying to be hard nosed about this but since my little run-in, I'm really offended when officials break their own laws and get away with it because no one challenges them. You have to way the pros and cons of doing this for yourself. My reputation within my industry would have been seriously tarnished had I not won my case which is why I fought back. I did my homework, the cop didn't do his.
Good luck.
Andy Sager
DG's AndyS
CFIC member
We where thinking about and i think that these guys might of been trying to get us arrested or something because first of all the attorney took a picture of us accross the parking lot(this was before we knew who he was) and their is no NEED to bring a county attorney? right? Whats weird to is that when the attorney sat down he pulled out his folders and he had two pages and each of those pages had one of our business cards cliped on to them. He then asks us so when you say "We buy houses who are you refering to"? Thats when the whole "investing" conversation started.
the funny thing is that like Keith said theres A LOT of election bandit signs all over the city!! so im going to have to give him a call today!
Next time a "restricted" number and a person named "doug" with apperantly no name calls you dont MEET him! lol my partner took his call and told me about it. I was i dont know sounds weird.. but lets go for it. ha
Andy Sager
DG's AndyS
CFIC & IE member
2013, 2014, 2015 & 2016 EDGE Alumni
no all the cards say is "We buy houses" thats all the info. on them.
any condition
our phone number
yesterday is history, tomorrow is a mystery, but today is a gift. That is why it is called the "present."
"Be not afraid of growing slowly; be afraid only of standing still"
Bill I also didn't understand what you mean't in your first statement? And Michael Mangham I was also laughing out loud at the dog and his eye, guess you were talking about me. Too funny, but I get where your going. Still my husband keeps posing this question.
so I gather that all signs are illegal, but my area seems to tolerate them well.
Secondly if we are not promising a return for investment money, and i am not sure how bandit sign advertising is doing this, unless they are putting how much return someone can get/ Bill still confused about your statement. Please clarify for us!
www.tw4homes.com website
https://tvallc.isrefer.com/go/RehabLite/reigirl/ FREE SOFTWARE FOR WHOLESALERS, REHABBERS AND AGENTS! Present professional looking deals to buyers and lenders as well as run your numbers and get the ROI.
any condition
our phone number
I hate to say this but it sounds to me like these guys were not legit. If all your card says is "We Buy Houses", how then, did they come up with, you are looking for investor's money?
BUT, all in all,to resolve any questions, I would just call the city code enforcement office and get their rules on advertising sign restrictions.(You don't need to be specific as to "bandit sign" restrictions.) Get the info straight from the "horse's mouth" and eliminate ANY possible problems with them. Take down the names of the people giving you the answers (as evidence) and move forward. You'll then know if someone is pulling your leg when they say you have an illegal sign.
Best of luck,
Andy Sager
DG's AndyS
CFIC member
Andy Sager
DG's AndyS
CFIC & IE member
2013, 2014, 2015 & 2016 EDGE Alumni
and so far I've had no problems... but I do put them up where other people put theirs up (carpet cleaning, auctions, soccer tryouts, politicians); they usually last about a month or longer... the first ones get picked up by homeless people who use the back side for their own use - no marketing expenses for them
Valerie
“And will you succeed? Yes indeed, yes indeed! Ninety-eight and three-quarters percent guaranteed!” ― Dr. Seuss
"I believe in angels, the kind that heaven sends; I am surrounded by angels, but I call them friends" - Unknown
My journal: http://www.deangraziosi.com/real-estate-forums/investing-journals/59110/...
all I am saying is that you have to construct the financial portion of the transaction to either be a birddog, a wholesaler, an investor or a real estate agent. You just have to be absolutely certain what model you are following. Many people, in my opinion, are performing the duties of a real estate agent and then just want to get paid for it and don't care how. They call themselves wholesalers but they are closer to unlicensed agents. You must think of the manner in which you get paid, what duties you perform and if you really have anything at risk. If people would take a class of real estate law prior to becoming a wholesaler; it would be apparent on why the law is being broken in a lot of cases.
Post #38 also spells out the downside of bandit signs. Stop following the lemmings off the cliff and think outside the box for new advertising methods. It doesn't mean they (bandit signs) aren'successful, but a lot of areas have been saturated and cities are tired of the clutter.
Always Looking to Acquire Houses | Always Looking to Amaze Investors
I live in California and it is illegal in some cities to post bandit signs without a license for example in Palm Springs. In other cities like Desert Hot Springs it is legal and you don't need a license from city hall. I find it rather suspicious that he lied just to meet you. Usually they just take down all your signs and keep them. They call you and tell you what you did wrong. Then if you want your signs back they fine you. As for the DA waiting in the car is just weird. A DA is way to busy to be dealing with a sign. Sounds like you got punked by other investors. You must be taking someone's piece of cake. I hope you asked for business cards.
I will become a real estate trillionaire.
any more details to share ???
sorry i took so long to answer backk... Well just came back from city hall, we paid off the ticket we got for 100.00 and we also took all of our bandit signs off ); a little sad now.. but the city code enforcer said that their is other ways we can market in the city that are legal. For example we can use flyers and put them in stores or bulliten boards. We can also market through the news paper or local papers and we can use our cars as marketing tools lol.
What i wonder is if i can market with bandit signs outside of the city limits?
yesterday is history, tomorrow is a mystery, but today is a gift. That is why it is called the "present."
"Be not afraid of growing slowly; be afraid only of standing still"
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