BGS3 - Program3648 - "Comprehensive Short Sale Program" If you are a realtor - WATCH OUT! They promise leads - LEADS ARE BOGUS!! Louisville Kentucky

I joined BGS3 December 18th and am happy so far with their system and services.  I received my first set of leads of homeowners in distress on December 30th which I immediately drafted a flyer to and sent through the US Postal Service January 7, 2010.  I sent two flyers to several targeted areas (my areas of expertise) and received one call as a result after the 2nd mailing.  Statistics show that direct mail has less than a 1% response rate so getting one call was good.  It's possible if I sent a 3rd mailing, I may get more calls.  It was $38 to send flyers to 71 homeowners.  I did it all online so used none of my own paper, ink cartridge, stamps or time putting them together.

In addition, I received a lead directly from corporate on January 25, 2010 and have been in touch with the homeowner and chatted at length with them, explained a little about Program 3648 which is a program relevant to the Short Sale transaction, and have a listing appointment to meet with the homeowner to list their house for sale next week.

I can't speak for the experience of others but I am one Realtor who is very satisfied with BGS3 and what they do for the public and the opportunity they give agents who are willing to hustle. I look at this relationship with BGS3 as a win/win/win.  I help the homeowner, BGS3 helps me earn a paycheck, and I am also contributing to helping to get our industry to correct values.

Cathy, Broker, Owner, Agent
Frederick, Maryland

For those of you thinking BGS3 might be a good option...proceed with caution.

I'm sorry to report that BGS3 and their Comprehensive Short Sale Program (Program 3648) was a costly and time consuming mistake. I had high hopes for BGS3, researched the company for weeks and although risky I fell head first into the sales pitch and signed up. I was expecting some Short Sale Leads to supplement the workload my team and I were already handling. My plan was to have BGS3 service the Short Sales listings that came from their Program 3648. They were "Guaranteeing" a minimum of 6 leads a month. I figured I would give it a try and, if successful, slowly shift all my Short Sales their way.

Unfortunately, I was charged for two months (over $2,200) and Never Received a Lead, a phone call or email, an explanation or an apology. As time went on I felt as though I was misled by BGS3 and their "Comprehensive Short Sale Program" so I asked to have my account canceled and refunded. I waited two weeks and followed up with phone calls...yet didn't hear anything back. Eventually, I contacted my credit card company to dispute the charges. I won the dispute and my credit card was adjusted (I received a full credit).

Fast forward two months and I get a call from a collections firm. Yes, BGS3 sent my account to a collections company. This is after 3 months of going round and round with the company and winning the dispute. BGS3 clearly failed to produce on their promises and I am still stuck with the task of trying to resolve this issue in which I did nothing wrong. My only mistake was in giving BGS3 an honest attempt. It is unfortunate that BGS3 lacks the ethical discipline to deliver on their word/ marketing and deliver on the leads they boast. I may be over reacting, but in my opinion $2,200 is a lot for BGS3 to charge for nothing.

PS- you can get similar "lists" of leads online without having to shell out $2,200 to BGS3 and from what I have seen the leads are at least as good and probably better. As for Short Sale servicing, again you have many options...many of which are much more cost effective that BGS3.

If you do deiced to do business with BGS3 use a credit card and keep records of everything.

BGS3 is a Comprehensive Short Sale System.

BGS3 works with Realtor Partners nationwide to help homeowners who are in default to take a proactive approach with their lender to avoid foreclosure. For an initial training deposit and monthly deposits BGS3 provides the following; unlimited short sale processing, Distressed Seller Leads, access to BGS3 short sale website training materials, Sure Close short sale website, BGS3 marketing resources and live staff. BGS3 requires all Realtor Partners to sign a Short Sale Servicing Agreement contract that outlines BGS3's responsibilities and those of the Realtor Partner.

BGS3 offers Distressed Seller Leads (DSL) each month to the Realtor Partners to get them started on the marketing process to help grow their short sale business. BGS3 obtains lists of homeowners that are 30, 60, 90 days behind on their mortgage payments as reported to the credit bureaus by mortgage companies, banks, and other lending institutions. "Barbara" was told that these DSLs were a way to build her short sale business and not to rely solely on DSLs on at least two occasions by our Client Relations Department and was also informed of this in emails. According to the contract signed by "Barbara" on October 3, 2008, in Section 1, Paragraph f, it states, "BGS3 makes no representations about the financial condition, interest-level, or ability to complete a short sale of any individual lead." However, BGS3 leads are over 97% accurate. BGS3 Director of Territories, Jim, initially spoke with "Barbara" and did not refuse to give out any information concerning where BGS3 obtains its leads. Jim explains the same as mentioned above that DSLs are homeowners that are 30, 60, 90 days in default. BGS3 does not in any way promise that every lead received will result in a listing. It is up to the Realtor Partner to go on the Home Appointment and convert leads into listings. BGS3 Realtor Partners are repeatedly told not to rely only upon the DSLs that BGS3 provides, but to seek out referrals, court house leads, and other avenues to create short sale opportunities.

BGS3 has Realtor Partners sign a Short Sale Servicing Agreement that fully explains the responsibilities of both parties involved. If "Barbara" would have read the contract, she would have understood that BGS3 provides short sale processing services and is not a lead generation company. She also would have fully understood her role in the short sale process and BGS3's responsibilities. The contract also states that BGS3 will electronically collect funds every month as a monthly deposit that is 100% refundable if the system is worked properly. Section 3 states, "In addition, the Realtor will deposit the amount of $_____ per month for each month during the term of this Agreement. In connection with these payments, the Realtor will provide BGS3 a credit or debit card that will facilitate electronic transfer of funds." Again, if "Barbara" would have read the contract she would have understood this. "Barbara" told BGS3 Client Relations' Department and BGS3 Billing Department that she would call with billing information or we were to call her. BGS3 tried contacting "Barbara" on many occasions (myself included) and was told she was too busy or unable to give BGS3 the information at that time and to call back. BGS3 had no other option but to turn "Barbara" over to the collection agency to collect on delinquent funds.

If "Barbara" would have been able to close short sale transactions she would have been able to have had her monthly deposits returned to her. In section 3 subsection c the contract states BGS3 will credit the Realtor an amount equal to 20 percent of all Buyers' Discount Fees collected from the Realtor's short-sales, not to exceed an amount equal to the Monthly Deposit. BGS3 will provide this credit on a monthly basis to the credit or debit card that the Realtor has provided under subsection a in the month following the month in which the relevant closing funded."

BGS3 depends on hard working, motivated, caring Realtor Partners to help homeowners avoid foreclosure by using our proven short sale system. In this economy, BGS3 is one of few companies who is working hard to try to help homeowners avoid foreclosures by completing a short sale on their property. BGS3, as a company has been helping homeowners avoid foreclosure nationwide through short sales for over three years. The owners of BGS3 have been working short sales for over six years. BGS3 is a reputable company with hundreds of successful individual Realtor Partners nationwide and BGS3 is aligned with numerous big name Brokerage firms throughout the United States.

It is unfortunate that Barbara was unsuccessful with BGS3 but that does not makes BGS3 services bogus. In order to be successful in the Real Estate business, you must be willing to work hard and in the case of short sales try to help homeowners out of the distressed financial straits in which they find themselves. In today's market it is not as easy as throwing a sign in the yard. It's about understanding that these are people's homes, not just houses. They need a person who cares about their dilemma not one that just wants to collect a fee. It's about having a shoulder to lean on during a difficult time and if necessary, pursuing a short sale, if it is the only option to avoid foreclosure. It takes a special kind of person to be able to work in short sale industry, a hard worker who truly cares and apparently Barbara is not cut out for it.

Thank you for giving BGS3 the opportunity to respond to this posting.