Ep. 103 – Proof of Funds and The Case of the Disappearing Buyer

Matthew Maschler:
Welcome to the Real Estate Finder podcast. I’m Matthew Maschler, real estate finder with the signature real estate companies here in the great state of Florida, and with me as always, the co-host of the Real Estate Finder podcast, Stacey Garcia. Hi. Hi, Stacey. Good to see you. Thanks.

Staci Garcia:
It’s been while. Good to see you too. Yep.

Matthew Maschler:
And also my real estate partner of 35 years, Jill Glazer. Hi

Jill Glanzer:
Everybody. I swear I’m not that old.

Matthew Maschler:
She’s been doing real estate since she was born 24 hours a day, seven days a week. Hey, Jill, I have a question for you. Sure. When you are listing a house that’s over $2 million, do you usually require a proof of funds for buyers to, if you’re going to approve a showing for a buyer? I don’t. You don’t? No, I don’t either. Stacy, what do you think? Do you or

Staci Garcia:
Would you I defer to my client, but my client sometimes does and I feel a little bit awkward asking for it.

Matthew Maschler:
Yeah, certainly if it’s a client requirement, we would certainly do that. My feeling, this has come up a lot in the office about proof of funds, but my feeling is that when I walk into a car dealership and I ask questions about a car, they don’t say how much money you got. If I walk into the jewelry store and I want to try on a watch, if I walk into the jet airplane store, I don’t know if there’s a jet airplane store, but the European sink outlet to wherever I go when I do my shopping, and even if it’s significant price, do I go to the travel agent and say, I’d like to take a cruise. They don’t say how much money you got. Show it to me before I even answer your question. We’re not talking about booking. Right. We’re not even talking about, you can’t

Jill Glanzer:
Even walk into the store with

Matthew Maschler:
Right, right. Without even walking into the store, I go to the Apple store to look at the new computer. Can you afford this computer, sir? So I get that it’s different because it’s your home, but I try to think about the perspective of the buyer and my multimillionaire. Multimillion dollar clients, they buy things on whims, right? They might buy a 200,000, watch, a 300,000 car on a whim and a day later the itch goes away. So if they want to buy a house, I want to show them the house. I’m a salesman. I don’t want to talk money. Someone says, what’d you take? I’m like, you didn’t even see the house yet. I don’t want to talk money until the buyer wants the thing, and if they don’t even know they want it, and I understand you, you don’t want lookie lose, but I tend not to. I’ve been doing this a long time. I remember two people that I showed houses to that really couldn’t afford them. Right. When it came time to put in a bid, they just didn’t have the money.

Staci Garcia:
How did you know?

Matthew Maschler:
Did I know? Sorry.

Staci Garcia:
I sound like how do you know they don’t have the money?

Matthew Maschler:
From the conversations with ’em about writing the offer, and we would get the offer and I’d get back to you, and then the way they pull out there was two, two that I can remember.

Jill Glanzer:
What if the property was a $25 million listing and the customer was, obviously they’re rich, but if the customer was famous because that’s why they wanted the buyer or the seller. Seller. The seller wants to know who’s walking in their house. That’s number one that you can get no problem. It’s usually gated.

Matthew Maschler:
Well, it’s not usually gated.

Jill Glanzer:
Well, it depends. I mean, I’m thinking of neighborhoods here. If it’s 25 million, it’s mostly gated.

Staci Garcia:
Not on the ocean.

Jill Glanzer:
Well, not on the ocean. That’s true. But I had to do it when I was showing one client years ago. Certainly it 15 million and up.

Matthew Maschler:
Certainly if it’s right, and yeah, if the seller is a celebrity

Jill Glanzer:
Or you say Google them, this is their name.

Matthew Maschler:
Well, on the buyer side,

Jill Glanzer:
If I’m representing, okay, I’m talking about my first question to you was if you were representing a seller who had a 25 million property and they were famous, would you ask for proof of funds?

Matthew Maschler:
I would take it on a case by case basis. It depends on the agent. If it was an agent I’d know, I’d ask the agent about their customer. If it’s a random agent that I never heard of that doesn’t have a lot of listings, and I could be a little bit more suspect. The thing about fame is are they known famous? Are you advertising? Some people advertised, right? This was who played band. This was Tom Sell’s house,

Jill Glanzer:
Right? Or this was Ariana Grande’s house. Ariana.

Matthew Maschler:
Ariana Grande’s, childhood home.

Staci Garcia:
Bad Barbie,

Matthew Maschler:
Right? A bad baby,

Jill Glanzer:
Bad baby, bad baby.

Matthew Maschler:
No, nothing to make fun of. We were the listing agent and the buyer, the potential buyer. Our customer was bad. Baby actually showed her two homes in her house search. Yes. Not sure where she ended up.

Staci Garcia:
She ended up

Matthew Maschler:
In, I wasn’t going to say it because

Jill Glanzer:
Yeah, I know where she ended

Staci Garcia:
Up. That’s for sale, so it’s good.

Jill Glanzer:
Oh, I know where she lived.

Matthew Maschler:
Let’s go look.

Staci Garcia:
It’s in Brook.

Jill Glanzer:
Sorry,

Staci Garcia:
I read the news one day. You read the news?

Jill Glanzer:
Yeah, and it’s on the news, so you’re allowed

Matthew Maschler:
To say it. No, I know, but still it’s, yeah,

Jill Glanzer:
It’s

Matthew Maschler:
Privacy. She was living in one of the other communities that were larger communities, and the neighborhood kids would try singing her songs at her and stuff. It got annoying for

Jill Glanzer:
Her. She couldn’t chill, she couldn’t

Matthew Maschler:
Relax, she couldn’t chill. So it’s a real issue when you get fame, and I deal with a lot of famous customers and clients so you can understand the need. Certainly there was a house in Long Lake that was the lead singer of Creed, and everybody knew that it was Creed’s house. So yeah, when they get some amount of fame, you got to be more protective. The

Staci Garcia:
Listing agent yesterday asked me for proof of funds. I said, okay, well just tell me about your client. It was kind a very quick showing. I said, it’s less than 24 hours. Let me just tell you about my client. They just bought and sold three houses in the neighborhood, and I gave him the addresses and I can send him the listing

Matthew Maschler:
And you can go and pomp it and see that they have substantial real estate holdings

Staci Garcia:
I sent. Then he said, well, can I have the proof of funds? I’m like, all right. So I sent the proof of funds, but it was more than six months old. So not only did he get the last three transactions,

Matthew Maschler:
So you gave him a stale, a six month old proof of funds? Yes. And was that acceptable to this agent? No, it was not acceptable. Oh, it

Staci Garcia:
Wasn’t listing

Jill Glanzer:
Agent. Okay. I didn’t know that. Oh,

Matthew Maschler:
Maybe he had 3 million cash in the bank six months ago, but what does he have now? That’s right,

Jill Glanzer:
But he’s broke. I’m just kidding. Right.

Matthew Maschler:
And again, it’s just for a showing

Jill Glanzer:
A little bit.

Staci Garcia:
It’s not even that is that the showing the house is only 1,000,007 and it’s a tear down. That’s

Jill Glanzer:
Ridiculous. It’s a tear down. No, that to me is ridiculous.

Matthew Maschler:
That is a lazy listing agent.

Jill Glanzer:
Its one thing if you have a $25 million house in a gated community with guards and you’ve got really expensive stuff in your house and a wine wall, and I can understand why they want proof of funds. They don’t want people just walking their house casing it out.

Matthew Maschler:
I will say when I am the listing agent in that scenario, I have my security guards with me or I said, guards, bodyguard, plural. I meant not bodyguard, but I meant I refer to ’em as security guards. I would get one of them. So I would have, because it is hard if four or five people come up to a showing and two people want to go upstairs and two people want to go left, it’s a little bit, who am I watching? So in that situation, when it is a significant home, I will make sure to have security with me at my chunks.

Staci Garcia:
Just recently, I did a walkthrough and there was a spoon missing from the dining room table, and my cellar said, there’s no spoon. And I was like, I know this sounds crazy, but on breaking bad, the sister was a kleptomaniac and she stole a spoon from every house. She stole something, but it was a spoon. And so my seller said, where do you think the spoon is? I said, I don’t think anyone stole it, but in the breaking bad, someone did steal a spoon from all the listings. She had a thing and she put it in her purse. It was always a spoon. So I said, maybe that someone watched breaking bed and they stole the spoon.

Jill Glanzer:
That’s funny. And

Staci Garcia:
She was like, I don’t know where it could be. I’m like, all right, well maybe we’ll just bring a spoon. Was it

Matthew Maschler:
A special spoon or just a spoon on

Staci Garcia:
The drawer? No, it was a spoon on the table. There were forced place that I didn’t

Jill Glanzer:
Match. Was it silver?

Matthew Maschler:
But it wasn’t like a spoon, spoon collection on the wall.

Staci Garcia:
No, but that’s what it was in breaking bed. It was a spoon collection on the wall.

Matthew Maschler:
Oh, okay. I

Jill Glanzer:
Do something. I didn’t watch it.

Staci Garcia:
Tell me what you steal.

Matthew Maschler:
Should I not say it? Should I tell you after Jill knows? I

Jill Glanzer:
Know.

Staci Garcia:
Really?

Jill Glanzer:
Yeah,

Matthew Maschler:
You can say it.

Jill Glanzer:
Oh, he likes to test the colognes

Matthew Maschler:
Only at an open house, not a showing. I wouldn’t do that, A showing that’s real. But if it’s an open house and I’m picturing myself living in the house and I’m walking through the master bedroom, you do a spray. I go into the master bathroom and I see these assorted, just like in the nightclubs or nice restaurants that they have, the gums and the mints and the deodorants and stuff. I see the cologne and I’ll do a little,

Jill Glanzer:
But there’s no bathroom attendant in an open house usually.

Matthew Maschler:
And I assume there’s no camera in the bathroom.

Jill Glanzer:
Right? That’s a good point. I

Staci Garcia:
Don’t know if I’d assume that anymore.

Matthew Maschler:
Well, the question is did they put the bathroom, the camera, in the bathroom just for, because hey, we’re listening the house. Let’s put a camera in the bathroom, or has the camera been in the bathroom

Staci Garcia:
For a long time? The thing about that is, and that’s a whole nother topic, is can I use the bathroom? When people say, can I use the bathroom? A lot of people now put the wrap around the toilet so you can’t use the

Matthew Maschler:
Bathroom. Especially in new construction. Right. You sold that investor customer. They put a million and a half dollars in all new toilets, all new tile, all new bathrooms, and then someone’s going to drop a deuce

Staci Garcia:
Toilet.

Jill Glanzer:
If I’m having an open house there,

Staci Garcia:
Toilet paper, I take the toilet paper out. That’s

Jill Glanzer:
Scary. If you’re having an open house for three hours and you can’t go to the bathroom,

Staci Garcia:
I know, I know where the toilet paper is. I keep it for myself.

Matthew Maschler:
No, the listing agent can go,

Jill Glanzer:
Oh, okay, but nobody else,

Matthew Maschler:
The visitors,

Staci Garcia:
Right? Yeah. No, I don’t think it’s acceptable. And I hate to be a buzzkill, but someone walks in, the first thing they do is, do you mind if I use the bathroom? I’m like, yeah, I do.

Jill Glanzer:
Somebody asked me that yesterday. An agent with her customer showing my listing. You went and used the bathroom. I let her use it. I mean, what was I going to do?

Matthew Maschler:
I hate using the bathroom here in the podcast studio. Yeah, it’s the worst. I was planning on where I was going to go on the way here, and then I was late and I forgot.

Jill Glanzer:
So

Staci Garcia:
Excuse me for a minute

Matthew Maschler:
Now. But I will say if you have an open house, you should in your mind, and you’re just taking the toilet paper and whatnot, now you got to have someone in a situation where they needs a toilet paper. I would say you should really have a designated bathroom. Which bathroom will be the one that you direct people to? Because when duty nature calls, man, your call duty Call of Duty. I was thinking, need your calls,

Staci Garcia:
They’re going to have to go somewhere else,

Matthew Maschler:
So you should have the one designated bathroom. But yeah, so proof of funds, it is absolutely ridiculous that they wouldn’t accept a six month old proof of funds.

Staci Garcia:
Well,

Matthew Maschler:
Because think about what you’re trying to do. You’re just trying to pre-qualify the person that person could afford. Again, this isn’t the negotiation. This is the showing, and you’re going to make the offer. Someone’s going to put 20% down. There’s the money. It shows them the money. Maybe you put a higher amount down to really prove that you have the money. Or

Staci Garcia:
My buyer said, I’m going to see a house, a place at 11. Can you make this 1130? I said, I’ll do the best I can this morning. She said, did they get back to you? Can we go at 10 30? I said, the guy never got back to me. He clearly doesn’t want to show it because if he did, he would’ve already tried to show it. And it’s only the first day. It’s an

Matthew Maschler:
Amazing listing agency. Spend much time to get the listing, spend so much money advertising the listing, and you try to make up a showing and they put up obstacles either by not confirming the appointment, not confirming the time, or saying how much money you got.

Jill Glanzer:
And they could easily Google your customer and find out that he definitely has the money.

Matthew Maschler:
This particular customer. Yeah, it’s ridiculous. It’s ridiculous.

Jill Glanzer:
And it’s vacant the house.

Matthew Maschler:
And again,

Staci Garcia:
No, the house is not vacant. Again,

Matthew Maschler:
If it’s an offer and you want to do more due diligence and do a proof of funds to accept the offer, sure. Right, right. But if it’s just to come see a first showing, that’s ridiculous.

Jill Glanzer:
People also have to control their sellers a little better. But that’s a whole other subject too. It’s like if your seller insists on something, you have to educate them. This might not be a good idea, and this is why, based on my experience and kind of be able to put them back, use your knowledge and experience to explain to them why it’s not a good idea instead of just agreeing with everything they ask.

Matthew Maschler:
So

Staci Garcia:
He emailed me this morning at nine, listing agent 10 30, and he said, please forward a proof of funds within the last 30 days.

Matthew Maschler:
30 days.

Staci Garcia:
But that was this morning already. It passed the one minute past the time where she wanted to see the house.

Matthew Maschler:
Sorry, they bought something else.

Staci Garcia:
I should say that, right? Yeah.

Jill Glanzer:
You know what too? A lot of people who are wealthy tend to be very busy, and it’s hard for them to get that information right off the bat. You have to ask your financial advisor for a letter. It could sometimes take two or three

Matthew Maschler:
Days. And I’ve seen people reject screenshots, screenshots of

Jill Glanzer:
Apps. Meanwhile, not to be, I mean, I don’t know if I should be saying this on the air, but somebody could just make it up too. Course. Of course you could make a really nice letter. Not that I would ever do it. People do

Matthew Maschler:
It. Could you do one for me,

Staci Garcia:
You one for me too,

Matthew Maschler:
For my fake buyer. I

Staci Garcia:
Want to put one on the wall just to look at from my, I know

Jill Glanzer:
That’s called manifesting.

Staci Garcia:
I’m going to make one. I

Jill Glanzer:
Hereby certify that Stacey Garcia has $10 million liquid assets. Stacey

Matthew Maschler:
Send that the on the old proof of funds to me and Brian, I want to see how easy it would be to counterfeit a letter.

Staci Garcia:
And the thing

Jill Glanzer:
Is, he’s never going to do

Staci Garcia:
It. No, and I didn’t. Didn’t redact

Matthew Maschler:
It. Me and Chris, we go, Brian, the moral compass, when I’m not sure if something’s right or wrong, I ask Brian

Jill Glanzer:
Or you just think, what would Brian do?

Matthew Maschler:
I have no idea.

Jill Glanzer:
He’s going to love this. He’s going to listen to Does he listen? Yeah, he listens.

Matthew Maschler:
Brian actually transcribes all the episodes for our SEO on our websites.

Staci Garcia:
Do you want me to text it to you or email

Matthew Maschler:
It? Email. Okay.

Staci Garcia:
You can. I read it.

Jill Glanzer:
Call

Matthew Maschler:
It

Jill Glanzer:
Proof funds letter.

Matthew Maschler:
Interesting thing. I have a new, can I tell you guys my new email philosophy? Yeah. I can’t keep up with all my emails. It’s just too much. Right? So I want you guys to know this and I want some of the people out there to know this about me. It might not read all my emails. Imagine if you go to the library, it’s filled with books and you ask the librarian a question. She knows what book to get. She may not have read it, but if I want to deal with the proof of funds, I’ll go to proof of funds email. I’ll find Stacey’s email. I do that too, but I’m, I’m going to go through my emails and see what’s going on. I’ll see if Stacey’s proof of funds email. I may or may not see it in real time, but the day I want to work on it, I just type proof of funds in the search box. There it is. So my email inbox has become a library and I’m the librarian.

Jill Glanzer:
So sometimes, because I see you answer stuff and you tell me you don’t read your email, but it’s because you’re using it as a library and you searched it up and then responded to it. Yeah. You didn’t actually read it in the way that it came in.

Matthew Maschler:
We’re scheduling the podcast and I put in podcast and a couple other, the keywords and 17 emails come up and then I’ll delete some of them. Now this is old. Lemme just delete them. And I’m like, oh, look at this email from two months ago where Jill asked me if she could have Thursday off.

Jill Glanzer:
Well, Preston did an amazing thing to my laptop email, not on my phone, obviously, but it sorts everything out and it’s freaking awesome. All my flex MLS updates go into a different thing. And I know you don’t like this. I know you probably don’t like any of it, but I’m telling you that your emails are in one part and I know I have to go there. It’s just so much easier because with all those Flex MLS updates and all this stuff, I can’t read stuff. It’s too much.

Matthew Maschler:
It’s overwhelming. How do you decide when to go look at my emails?

Jill Glanzer:
Well, your emails are in a different file with other people’s emails. Like Matt and other people who I have to read. I read them every day. Those, but if it’s like Flex MLS or other things which like promotions, let’s say I get a spam from a store, they’re going to a different thing. I understand everything you’re saying, but it’s the only way I can manage it. Because even yours, way

Matthew Maschler:
More on, I will say to my staff and my team out there, you cannot take the library approach.

Jill Glanzer:
Well, I don’t, Preston, I don’t.

Matthew Maschler:
I just want to make it clear. Do what I say, not what I do. Right. So to my team out there, my agents out there do not take the library approach. You must do. You know, I can’t do it. I can’t physically do it. But

Jill Glanzer:
Didn’t you ask somebody recently to ask their tips on how to do it? No. Somebody we know you emailed them, but I don’t think you ever had the conversation.

Matthew Maschler:
I emailed people. Yeah, I emailed people. I’m just curious what they say. I just don’t see the responses.

Jill Glanzer:
No, you’re like, Hey, I need tips on how to read all my emails. How do you possibly do it? Because this person you asked,

Matthew Maschler:
I didn’t ask. I complimented them. Oh,

Jill Glanzer:
Okay. I felt like you asked. I

Matthew Maschler:
Complimented them. I

Jill Glanzer:
Reading email. I don’t know how he does it either.

Matthew Maschler:
Being very responsive, being very responsive and timely. I complimented him. So I didn’t ask, how do you do it? I said, I don’t know how you do it.

Jill Glanzer:
Okay. Did they have no life?

Matthew Maschler:
Yeah. Yeah. Well, that’s how you do it. Yeah, right there. But also, this is the best email tip I ever heard. This is from Tony ue, the president of the owner of what was the, now I forgot the name of the Zappos. Zappos shoes. I don’t hear anything from Zappos. Is they still around the

Jill Glanzer:
Swapping one?

Matthew Maschler:
Zappos is a shoe store, online shoe store. I

Jill Glanzer:
Haven’t heard anything from them, but I think I unsubscribed. I don’t know.

Matthew Maschler:
Yeah. One of the things that they do is they do returns. So if you don’t know what size you are and you buy one of each size and return the other, is that what you’re thinking about swapping? No,

Jill Glanzer:
I was thinking about

Matthew Maschler:
Used shoes. Yeah. No used shoes.

Jill Glanzer:
No. It’s just a regular shoe store. They still exist.

Matthew Maschler:
It’s a shoe store. So anyway, the founder, Tony, I don’t know how to pronounce his last name. I think it’s something like Sway or Sway. I dunno if it was his theory, but I credit him. It was called Yesterbox. And what he did, he said, well, today’s emails are infinite, right? You send an email, emails keep coming. You don’t have any control of how many emails you have in a day, but you do have, there is a finite number of emails that you got yesterday. If you got 100 emails yesterday, 300 emails yesterday. So every day he comes in and deals with yesterday’s emails. And if you can respond to delete file, act on all of yesterday’s emails, now you’re done for the day.

Jill Glanzer:
Yeah, I couldn’t do that. I would have to start with today.

Matthew Maschler:
Well, the problem is today you’ll never finish. The emails

Jill Glanzer:
Can still come go till midnight.

Matthew Maschler:
They’ll still come. Right. So if you do all of yesterday’s emails now, it doesn’t work as real estate agents. You got showings, you got offers. I

Jill Glanzer:
Mean, I’m running around. I’m networking, I’m showing, I’m talking on the phone a lot. That takes up a lot of my day. Sometimes it’s really hard.

Matthew Maschler:
Really hard. Really hard. And I went on a four day, I’m not an alcoholic, but I felt like I went on a bender.

Jill Glanzer:
Did you drink? You don’t drink? I drank. Oh, I didn’t know that. You didn’t know I drink. No, I thought you didn’t drink at all.

Matthew Maschler:
You’ve never seen my bar or

Jill Glanzer:
Wine. I’ve seen your bar, but I just didn’t think you drank. You

Matthew Maschler:
Didn’t see the levels of alcohol go down in the bar.

Jill Glanzer:
I’ve only seen you drink at a few things. Yeah.

Matthew Maschler:
I mean, I don’t drink often. I certainly don’t drink every day, which

Jill Glanzer:
Is

Matthew Maschler:
Good. And then most of the parties they have, I’m hosting, so I don’t drink if

Jill Glanzer:
I’m right. When you host, you don’t drink. Yeah.

Matthew Maschler:
So I was on the cruise last week. A couple people were commenting, oh, I’ve never seen that drink. I’m like, yeah, because it’s not my event.

Jill Glanzer:
You didn’t have to drive.

Matthew Maschler:
Well, yeah. And it wasn’t my event. Right. Not your boat. I had a room on the cruise. I had no responsibility. So it was fine.

Jill Glanzer:
That’s true. Everything I go to was your event. Right.

Matthew Maschler:
But if I’m hosting an event,

Jill Glanzer:
You’re not going to get wasted. So

Matthew Maschler:
It was Sunday, it was our port day. So when we were in Mexico, so something happens to me when I’m in a Spanish speaking country. You

Jill Glanzer:
Speak Spanish? I do.

Matthew Maschler:
Yeah. Which is weird. I don’t speak Spanish normally

Jill Glanzer:
He does.

Matthew Maschler:
Yeah. So we get off the ship and I’m talking to the cab drivers and we get to a restaurant and I’m in a shop. I’m negotiate Chacha Charlie, I was negotiating. We bought a whole bunch of sombreros. They wanted $50.

Jill Glanzer:
That’s ridiculous.

Matthew Maschler:
We bought 10 for a hundred.

Jill Glanzer:
Oh, that’s good negotiation. Yeah,

Matthew Maschler:
We would’ve bought a hundred if they had ’em. We got back on the thing on the cruise ship and somebody was wearing a sombrero, and it was the playoff weekend. So it had the Detroit Lion logo on it. And now Chacha and I are curious what the sombrero market is. I said, oh, and the line’s just lost. So it was sad. I said to the lady, do you mind if I ask how much the sombrero was? $65.

Jill Glanzer:
That’s ridiculous.

Matthew Maschler:
And one of the people I was with immediately goes, yeah, so many people got ripped off today. Don’t say that. She loves her sombrero. Don’t tell her she made a bad deal.

Staci Garcia:
Right?

Matthew Maschler:
6,000 bucks. This other kid could Dylan on the boat. I felt bad for him. He’s in a wheelchair. I saw him down by Senior frogs or whatever, and he was surrounded by vendors. I didn’t know what was going on. So I went over there to see what was going on. So he negotiated for a T-shirt, and it was $65 that he paid for a T-shirt.

Staci Garcia:
Were you in Cozumel? In Cosm. I love that. Right there. That place.

Matthew Maschler:
Yeah. So I can see that.

Staci Garcia:
I love seniors

Matthew Maschler:
With the balloon hats.

Staci Garcia:
I love it. It’s right next to Hooters. It’s like my favorite

Matthew Maschler:
Place. I see you there with the balloon hat right now. So

Staci Garcia:
They have the dance and everybody stops and dance. They love that place. They should have that.

Matthew Maschler:
Boca wasn’t there. I senior frogs in like the Ray once.

Staci Garcia:
I thought there was one in Bayside or somewhere,

Matthew Maschler:
Bayside. They used to be that place. So $65, I dunno if we bought two shirts or three shirts, but he got back to the boat and they hit ’em for $300 on his bank. It was a debit card. And they did 300 from his bank. They knew the conversion from pesos. So they were giving him a refund slip.

Staci Garcia:
Right.

Matthew Maschler:
And I’m like, they’re probably just charging him another 300. But I was like $65 you buy bought two T-shirts or 65. Ouch. And they hit him for 300.

Jill Glanzer:
It’s pure capitalism.

Matthew Maschler:
This was thievery. There’s a line. And the thing, I’m pretty capitalist, but that’s why there needs to be regulation, right? Capitalist doesn’t work with without regulation because these people just rob ’em so annoying.

Staci Garcia:
There’s only so far you can walk right there off the port to get maybe five blocks and you’re done. So all those people are squished into the port.

Matthew Maschler:
Well, you have inside the port, you have tons of stores in the margarita bill, the Send Frogs is all inside the port. If you go right outside, there’s I think the Ritz Carlton and a casino and a hard rock cafe. And then you have to walk or take a cab out to the beach or to the downtown area. I did get mad at, I wanted to a taco stand did. I ended up at a restaurant. I was so pissed.

Jill Glanzer:
Taco you want, I wanted tacos. You want it like an authentic Yeah. Street Taco Street. Taco Street

Matthew Maschler:
Tacos. But Cosel is not the most authentic.

Staci Garcia:
Yeah, I wouldn’t go for that.

Matthew Maschler:
But the interesting thing is, I’ve always wondered this about restaurants. They don’t ask for a proof of funds, right? You go to York Prime or Aen, Louis started earning $80 steaks and $300 bottles of wine and nobody, it’s all on credit until you got the bill.

Staci Garcia:
Remember when pretty woman went into the store and then she didn’t get anything because they judged her.

Matthew Maschler:
I don’t remember. Pretty woman enough to

Staci Garcia:
Quote her. She said, big mistake. Huge,

Matthew Maschler:
Huge.

Staci Garcia:
You guys work on credit on commission. Commission? We work on commission.

Jill Glanzer:
Oh, it was all those girls in its boutique.

Matthew Maschler:
I have to re-watch the movie because it’s often quoted to me. We were just talking about it the other day with the end. People were saying she wasn’t a hooker anymore at the end. And I’m like, so she was a sugar baby.

Staci Garcia:
She was a princess.

Matthew Maschler:
I’m like, I’m pretty sure she was still a hooker at the end.

Staci Garcia:
She was a princess afterwards. She just turned into a princess

Matthew Maschler:
Sugar baby. I’m pretty sure that’s how the movie ended. I got to rewatch it. Should they remake it?

Staci Garcia:
No. No. It’s a great movie. It should just stay the way it is.

Matthew Maschler:
Any remake would try would be terrible.

Jill Glanzer:
Just couldn’t beat it. It’s

Staci Garcia:
Just

Jill Glanzer:
The two actors in it. I mean, yeah, you can’t beat them.

Matthew Maschler:
It was it Julie Robertson, Richard Gere. Yeah. I either want to see a remake or a sequel. See what happened later.

Jill Glanzer:
I just think so many things have changed. The It would just be different.

Staci Garcia:
She’d be a hooker and then you’re right. She’d be a chickener baby

Matthew Maschler:
Ind DC proposal. The movie would be five minutes. I’ll give you a million dollars to sleep with your wife. Okay,

Staci Garcia:
That was easy.

Matthew Maschler:
All right.

Staci Garcia:
I do it for a hundred thousand.

Jill Glanzer:
Negotiate him down. No,

Matthew Maschler:
Down

Staci Garcia:
A million dollars. Wow. We do that for a month.

Jill Glanzer:
For a month.

Matthew Maschler:
Alright. So yeah. So proof of funds. You go to the restaurant, you order whole bunch of steaks and bottles of wine. They don’t ask you how much money’s in your pocket, but you want to go home and look at a new house and you didn’t even order it. You just want to look at it. Can you imagine you go to New York Prime and say, Hey, can I see the menu? Or hey, I’d like to make a reservation for Thursday night. Can you send a proof of funds? We’re not sure if you could afford our restaurant.

Jill Glanzer:
Think about how much trust though restaurants have for their customers. It’s pretty crazy when you think about

Matthew Maschler:
It. Oh, it’s insane.

Jill Glanzer:
They’re serving fancy. It’s just like an understanding. The customer’s going to pay. But I’m sure there’s some that don’t. I

Matthew Maschler:
Was in St. Louis, 10 people Ruth’s Chris, they don’t know us from Adam made an appointment at OpenTable. OpenTable didn’t say how much money you got. They did not need a proof of funds. It’s only the house situation. Right.

Jill Glanzer:
And you had a cast of characters. I’m sure

Matthew Maschler:
It’s a cast characters. Nothing meaning all. Alright, so we’re going to change the subject a little bit. Alright. You have the listing buyer comes whether they have a proof of funds or not. They make a deposit after the inspection period ends. They’re supposed to apply to the HOA, but instead of applying to the HOA, you never hear from the buyer again.

Staci Garcia:
And it’s not your client,

Matthew Maschler:
You’re the listing agent. Right? You’re the listing agent. A buyer comes in, makes an offer. Is this what happened? Yes. Buyer came and made an offer. Yep. Was there a deposit? Yes. Then there was an inspection period.

Jill Glanzer:
Yep. They made the deposit. They did?

Matthew Maschler:
Okay. Was there a second deposit after the inspection

Staci Garcia:
Period? No, just one

Matthew Maschler:
Deposit. According to the contract. Should there have been a second? No. So the contract only provided for one deposit, which they made inspection period came and went.

Jill Glanzer:
Yep. They did the inspection or no?

Staci Garcia:
Yeah, they did the inspection.

Matthew Maschler:
They did the inspection. Was there a negotiation after the inspection? No. Okay. Inspection period ends. There’s certain things the buyer needs to do now. They need to apply for a mortgage. They need to apply for the HOA Cash deal. Cash deal. So they need to apply to the HOA. And when is the closing?

Staci Garcia:
It was like 15 days later. So it was supposed to be January 23rd.

Matthew Maschler:
Closing is supposed to be January 3rd. Today is 23rd. January 23rd. Today is February 6th. And no one’s heard from the buyer? No.

Staci Garcia:
The buyer disappeared.

Matthew Maschler:
Buyer just disappeared.

Staci Garcia:
And then when I contacted the HOA originally, she said that the entire office that does the management for the HOA, they all got the flu. So she didn’t know what was going on. But then she said, I’m sure they’re approved. I’ll find out. Well I’ll know tomorrow. Which was

Matthew Maschler:
Before the scheduled closing.

Staci Garcia:
It was before the scheduled closing. So then that day I said, okay, we’ll find out the next day. That was supposed to be the closing day. And then the next day she said, I never heard of the buyer. We don’t have any record of the buyer applying for the HOA. And so what I said yesterday doesn’t apply. Even though everybody had the flu, there was no application.

Matthew Maschler:
Had they applied, most probably it would’ve been approved. We don’t have any pending. We don’t haven’t denied anyone and we have no pending applications. So yeah. What’s the buyer’s name? I will check.

Staci Garcia:
Yeah,

Matthew Maschler:
No, we have no record of this buyer whatsoever.

Staci Garcia:
Buyer’s agent says that the buyer was giving them a hard time about the HOA, didn’t want to provide the information that the HOA application required and then disappeared. Buyer disappeared.

Matthew Maschler:
Wow. And the buyer’s agent didn’t tell you any of that. While

Jill Glanzer:
They’re not getting their deposit and they have a deposit, but they’re

Staci Garcia:
Not getting back. They do a deposit and of course if it was a humongous deposit, I’m sure they would reappear, but it’s only a $3,000 deposit. So the buyer’ss agent then disappeared after the closing date. Wow. Now everybody’s

Jill Glanzer:
Disappeared. Did you contact the buyer’s agent’s broker?

Staci Garcia:
No, that was my next move. Yeah. I said I wanted to speak and I’m

Jill Glanzer:
Sure you looked up the buyer on Facebook and their fans.

Staci Garcia:
I don’t even know the buyer’s name, do you? They’re not on the contract. The contract was assignable. So without the buyer being able to back out, you know what I mean? Like assignable.

Matthew Maschler:
But did they sign the

Staci Garcia:
Contract may assign but not be released from liability?

Matthew Maschler:
Yeah. And they signed the contract?

Staci Garcia:
Yeah, they assigned the contract and the person’s name was in the title package. So the title company sent me the information, A digital version.

Matthew Maschler:
Did you see a copy of the assignment?

Staci Garcia:
No.

Matthew Maschler:
I would want to see a copy of the assignment, but they purported to have who was the escrow agent? Not the title company. The escrow agent,

Staci Garcia:
According to escrow agent is attorney’s key attorney’s

Matthew Maschler:
Key title. Okay. Has the seller asked attorney’s key for the deposit?

Staci Garcia:
The seller said, I represent the seller seller’s in China. So I said to the attorney’s key, we’re going to put a request in for the deposit. She said, you need to speak to the listing agent. I mean to the buyer’s agent. Deal with the buyer’s agent. That’s what she said.

Matthew Maschler:
Generally, she

Staci Garcia:
Said it’s not going anywhere. The escrow is not going into anyone right now.

Matthew Maschler:
See, generally what you’re supposed to do is put in a claim with the escrow agent for the deposit. And as long as the buyer doesn’t object, the escrow agent can release the money to the seller.

Staci Garcia:
Right?

Matthew Maschler:
I don’t know. You have to. I think you should formally request the deposit.

Staci Garcia:
Is there a form for

Matthew Maschler:
That by email? I think

Staci Garcia:
I did

Matthew Maschler:
That. I would email and say hi. As you know, the buyer never applied to the HOA. They’d never appeared at closing. We have not heard from the buyer. We’d be happy to give them an extension if we had heard from them. We have not heard from the buyer, please. Therefore, we hereby request that you release the X number of dollars that you’re holding in ESCO to the seller by check to this address or by wire to this account number within the next several days. We look forward to a prompt resolution of this matter. You send that email, CC me, and then if they say, no, you need to sue the escrow agent, not the buyer, the escrow agent. That’s what I would do. I would sue the escrow agent. You could also sue the buyer

Staci Garcia:
For damages.

Matthew Maschler:
Well, you can sue the buyer for damages or the deposit, but you are going to need an attorney for that. But I would start with the escrow agent.

Staci Garcia:
Okay, so I’m going to send that email now. Yeah.

Matthew Maschler:
All right. So yeah, the case of the disappearing buyer,

Staci Garcia:
It’s crazy, right?

Matthew Maschler:
It’s crazy. And generally the disappearing buyer at some point would say, hi, Mr. Escrow agent. We decided I did not get approved by the HOAI would CC the buyer’s agent on it.

Staci Garcia:
I did. I CC’d everybody.

Matthew Maschler:
Hey, Mr. Escrow agent, we never got approved from the HOA, we decided we’re not going to buy the house. Please release the money. To me,

Jill Glanzer:
The buyer’s agent’s probably freaking out thinking they did something wrong. So that’s why they’re hiding from you.

Staci Garcia:
Buyer’s agent fault was looking to reassign it to someone else, is my opinion.

Matthew Maschler:
But the contract expired.

Jill Glanzer:
It was supposed to close on the

Matthew Maschler:
23rd, expired on the 23rd. So can she

Jill Glanzer:
Re-list?

Matthew Maschler:
Yeah, of course

Staci Garcia:
It had an extension of 15 days. If the HOA approval wasn’t solid because it only had 15 days in the beginning, but they didn’t even

Jill Glanzer:
Apply.

Matthew Maschler:
They’re in breach of contract. They didn’t apply to the H oa.

Staci Garcia:
So do I need proof that they didn’t apply to the HOA?

Matthew Maschler:
No, they

Jill Glanzer:
Just put it back on the market.

Matthew Maschler:
If they want claim that they did not breach, then they need proof that they did apply.

Staci Garcia:
Alright, that’s

Matthew Maschler:
My question. Put it back on the market immediately and ask the HOA for the money. Okay. Alright.

Jill Glanzer:
Ask the escrow agent for the

Matthew Maschler:
Money, put it back on the market and ask the escrow agent for the money. Okay. And if you have damages, for instance, let’s

Staci Garcia:
Say I feel like I do have damages. Do you know why? Because it’s 9 24 a month for the HOA.

Matthew Maschler:
Yeah, from January 20, let’s say you, it’s expensive. It’s now February, let’s say you don’t close it until May 1st. All of your carrying costs from January 23rd to May 1st are part of your damages. Let’s say you sell it for $7,000 less. The difference in the purchase price is part of your damages. And you can sue the buyer for that promise. You’re going to have to find the buyer.

Staci Garcia:
Right? So the escrow and the

Matthew Maschler:
Original buyer’s on the hook, because even though they assigned it, they’re not relieved of liability. So the original buyer’s on the hook for that

Jill Glanzer:
Is the original buyer and the one they assigned it to on the hook or just No, just the original.

Matthew Maschler:
I’d have to see the assignment

Jill Glanzer:
Because it’s may assign but not be released from ability.

Matthew Maschler:
I have to see the assignment. There may not be, there’s something in contract law called privity. There’s no relationship between the seller and that assignee unless the seller signed to the assignment. So there might be an issue there.

Staci Garcia:
Why wouldn’t the assignment? Because I didn’t know that there was an assignment or such a thing called the assignment. It’s not an addendum, right? It doesn’t need to be signed by me.

Matthew Maschler:
I think it needs to be signed by the seller, but I’m not hundred percent.

Staci Garcia:
But there nothing signed by the seller for an assignment.

Matthew Maschler:
So that’s really a question for if the title company’s going to approve that. Certainly the, I would think that the seller should have to sign the assignment, but because the buyer has the right to assign, maybe they don’t. I don’t know if it matters unless, but maybe I just don’t know what your question is.

Staci Garcia:
I was just wondering, in an addendum, seller needs to sign if there’s an extension or anything else. In this case, if it’s assigned to someone else and we give them permission to assign without being released for liability, do we have to sign if it’s assigned?

Matthew Maschler:
It’s really only a question if the title company requires it or the bank requires it.

Staci Garcia:
Okay.

Jill Glanzer:
It was a cash deal. Yeah,

Matthew Maschler:
Because the buyer has the right to do it. I would think the seller shouldn’t have to sign because if the seller has to sign, some sellers won’t sign without some kind of a quid pro quo.

Jill Glanzer:
Gotcha. Yeah, I think that’s right, because I actually just had a buyer who assigned something and the seller didn’t have to

Matthew Maschler:
Sign, but the title company might wants something. But anyway, yeah, I have a contract with Jill. Jill assigns her rights to somebody else. That’s fine. But Jill, the original buyer’s not relieved of liability. So that’s the person you have to sue. And that’s why in the contract, you want the proof of funds and you want to know who they are, maybe a copy their license, et cetera.

Staci Garcia:
Right. Okay. Alright.

Matthew Maschler:
Alright. So thank you so much for joining us on the Realestate Finder podcast. I am Matthew Ashler real estate broker signature real estate finder. Our website is realestate finder.com and I hope you enjoy this podcast. If you want to hear more from me, you can check out the Matthew Mania podcast. You can check out matthew h bachelor.com online to see all kinds of things that I do and hit me up on Facebook or Twitter. I can’t say X, it’s not a

Staci Garcia:
Word. I don’t

Matthew Maschler:
Say that again. It’s not a word. And I can’t find it on my phone. And when I Google X, it’s not good the result. So anyway. Matthew Ashler real estate finder, Stacey Garcia,

Staci Garcia:
Jill Glanzer,

Matthew Maschler:
And thank you for joining us. Okay, this just, we finished up the podcast. We recorded it. Stacey and Jill left. Then I stayed in the podcast studio to record the Matthew Mania podcast with Neil the Heal. And it’s literally one hour later, one hour from when we ended that last podcast when we got off the air, we’re talking about the case of the disappearing buyer. When we got off the air, Stacey and I drafted an email to the escrow agent and we said, Hey, let me read it to you. The seller would like you to release the escrow deposit by check made payable to the seller’s name. While nothing will make us happier than closing this deal, the buyer has not applied to the HOA and the contract closing date has passed. Unless you receive conflicting instructions, we see no reason why the deposit should not be released.
Please let me know when I can pick up the check. So we sent that at 1201. It’s now 1257. 55 minutes later, they responded right away. In order for us to release the escrow deposit, we will need a signed cancellation from buyer and seller. If you can provide that to us, we can release the escrow. Now remember, we have a disappearing buyer and a non-coating agent. And literally 20 minutes later, the buyer’s agent sends an email. It literally just says, please see attached. And attached is a signed cancellation from the buyer releasing the $3,000 deposit to the seller. So now we just need to have the seller sign it and we’re getting that $3,000 Amazing. The case of the disappearing buyer has been resolved satisfactorily in our favor. Thanks to Matthew Ashler real estate broker.

Speaker 4:
The future looks bright and thes by the sky’s dog. Blue. When it’s almost at time, life shows cameras flash When I pass living in the moment, forget about the pass. They saved the best for last. Matthew Mania. We about to make a splash. Life is a marathon full of sharp turns. Got to keep pace while the hands on the clock turns high stakes. Five star real estate. I run a show. You could tell the boss. Center plate electricity always make dreams. Come living life real clear.

Speaker 5:
It’s time. It’s time. It’s time. You know what you knows? You knows. You knows.

Speaker 4:
You know what time. You knows time. You know what time? It’s Matthew Mania. The time it says, you know what time whose time? It’s, you know what time? It’s Matthew Mania. The time says, yeah. Got him shook, scared. Can’t look. We not afraid of the big bad wall. First.