Strategies of Avoiding the Real Estate Scams Which are Common
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 individual can post on websites such as Zillow and Craigslist in case they have a PC and internet access. Hence some posts on these websites will be inaccurate. In fact, some studies have shown that a website, for instance, Craigslist, does not flag over half of the post which is on their website. The high instances of scams make it more essential to understand real estate 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. Below are a few of the most common scams that happen in the real estate which you should be aware of to help you with getting more details.
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. To avoid such frauds, you should be able to see the fraudulent posts or red flags. A few of the red flags to avoid are a seller who is not local, the methods of payment, and the use of a third party. The scammer might also advise you to meet at a different place and to sign the sale agreement and offer you the keys. However, the main red flag is if the deal is too good to be true. If the ad has quoted a very low price for the house which is below the other listings, this is a scam.
To have another individual transfer the home to them, fraudsters will typically utilize another individual’s identity by using false documents. The fraudster will then take a new mortgage on the house, receive the cash and not leave a trace. The owner of the home is left in a hard place where they have to pay off the mortgage. You could purchase title insurance to avoid 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 want to buy a home, it is vital to have a realtor to help you in getting what you are seeking. However, you ought to be careful as the scammers are now lying that they are 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.