Quote:
Originally Posted by Insensitive PAP
Clearly there is a lot of fat in the industry, but they do bear a lot of risk as well. It's not uncommon for people to lose their shorts in real estate, and those that make money are a lot less than those who wash out, quickly.
Title companies bear a TON of risk. I know one that recently had to pay out $1 million for screwing the pooch on the title work. So while it's a racket, there is some expertise needed.
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Are you sure about that? My understanding is that title companies are just a middle man to sell you title insurance. That $1M was probably paid by the insurance company the title company sold the title policy to.
Real estate investors carry risk. I don't think any real estate professionals do as far as realtors, mortgage brokers, title officers. A realtor could get sued for negligence, but they carry insurance for that for which the premium represents a very small percent of their revenues.