Approaches to Avoiding the Typical real Estate Scams
With the advancement in technology, it has become rather easy for scammers to take advantage of unsuspecting homeowners and individuals who want to buy or rent a home. Any person can post on Craigslist and Zillow if they have a computer 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 common in the popular sites, and they lead to financial harm to unsuspecting buyers. 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. Some of the common red flags to watch out for include a foreign seller, payment methods, presence of a third party. The fraudster might also say that you should meet a different place to sign the sale agreement and hand you the keys. But, the key red flag is if the deal appears too good to be true. You will know it is a scam if the ad has listed a price for the house which is lower than the other listings.
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 house, receive the cash and not leave a trace. The homeowner is left in an awkward situation where they have to pay off the mortgage. You might buy title insurance to prevent falling into such a scam.
You could protect your personal information better and thus avoid title fraud. Fraudsters cannot come up with fraudulent documents if they do not have any of your data.
To be able to find what you are looking for when searching for a house, it is important to enlist the help of a realtor. But, you should be cautious since scammers are now pretending to be real estate agents. To prevent such frauds, ensure that you get the help of reputable real estate agents and read online reviews that prove that they are credible.