In the past month, the real estate board of the Texas-based real estate brokerage firm Board of Realtors has gone public with a series of posts that appear to show that they are not interested in providing a mortgage that would cover their losses.
“I do not think the board of REALTORS would want to be in a position to help an individual with a large mortgage who has already defaulted,” the posts say.
“We have seen that many times, and we would expect the board to be mindful of the debt levels of our members.”
The posts do not indicate how much the board has made on the properties.
But realtor and real estate blogger Chris Tamburini believes that the posts are indicative of a problem with the realtoring business.
“I think there’s an issue here,” he said.
“The realtor board has an obligation to be transparent and transparently disclose the costs of doing business and how they’re calculated, but the board doesn’t seem to be disclosing what’s actually being done with the properties.”
The realtory board has been at the center of a legal battle between the realtor industry and the Texas Department of Financial Institutions (DFI), which requires all of the realty brokers to disclose the financial information they use to sell properties.
The realtor agency’s request for an injunction against the bank has also been granted, which is a key step toward a possible court order.
“The real estate industry wants to say, ‘You know what?
It’s not about the money.
It’s about the integrity of the business.
We’re not going to sell a property if we know we’ll be sued, and that we’ll lose our license,’ ” Tamborini said.”
That’s a dangerous precedent.
They’re saying we’re not interested because the bank’s going to go after us and take our licenses away, but that’s not what’s happening.
The board’s not doing what it’s supposed to be doing.”
In February, a federal judge in Texas ordered the realtrading association, REALTOR®, to disclose to the public how much it made on properties it sold in the state.
The Texas Realtor Association filed an appeal of the ruling in October.
Tambourini said the realtedors are being pressured by the banks into giving up their license.
“They want to have their licenses gone, but they don’t want to let their members go, so they’re saying, ‘Hey, if we can get these licenses, why can’t we go and do it ourselves?'” he said, adding that the real-tors association is not trying to hide its relationship with the banks.
In an email, a representative for REALTORDER said the agency does not comment on pending litigation.
“We appreciate the opportunity to explain our position and are committed to transparency,” the email said.
The realty board has not responded to requests for comment from Newsweek.