Ways of Avoiding the Common Real Estate Scams
With the rise in technology, it has become quite simple for fraudsters to take advantage of na?ve homeowners and people who want to purchase or rent a house. Any individual can post on websites such as Zillow and Craigslist in case they have a PC and internet access. Thus, not every post on such pages will be true or accurate. In fact, some reports have shown that a website like Craigslist does not flag more than half of all the fraudulent real estate posts which are on their site. It is more important to identify the real estate scams due to the high cases of fraudulent scams. In this article, we will explain some of the most common scams and approaches to avoid them.
Scams can take place while you intend to move into a new home and also after you move into your own house. To aid you with getting more data, below are some of the most common real estate scams which you should know.
Online scams are prevalent in the famous sites, and this causes financial harm to buyers who are not suspecting. The scammer will say that they are the landlords or the homeowner and will reply to your emails professionally and promptly. You should be able to notice these fraudulent red flags or posts to prevent such scams. The use of a third party, methods of payment and a foreign seller are some of the red flags to look out for. The scammer might also advise you to meet at a different place and to sign the sale agreement and offer you the keys. In case the deal is too good to be true, this is the major red flag. If the ad has quoted a very low price for the house which is below the other listings, this is a scam.
Scammers will normally use another person’s identity by utilizing false documents so as to have someone transfer the home to them. The fraudster will then take a new mortgage on the home, receive the money and leave no trace behind. The owner of the home is left in a hard place where they have to pay off the mortgage. You might buy title insurance to prevent falling into such a scam.
You might protect your data better and thus avoid being scammed. Scammers cannot create fraudulent documents in case they do not have any of your personal information.
When you are searching to purchase a home, it is critical to have a realtor to assist you in finding what you are searching for. Nonetheless, you must take caution since the scammers are now claiming to be the real estate agents. To avoid their scams, be sure to work with credible realtors and have online reviews that confirm that they are legit.