Ways of Avoiding the Common 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 individual can post on websites such as Zillow and Craigslist in case they have a PC and internet access. Therefore, not all posts on such websites will be accurate or true. 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. These high cases of fraudulent posts makes it more critical to understand real estate scams. In this guide, you can discover more about the most typical scams and ways in which you can prevent 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.
Unsuspecting buyers encounter financial harm due to the prevalence of online scams on the famous sites. The scammer will claim to be the homeowner or landlord and will respond to your emails in good time and professionally. 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 fraudster might also say that you should meet a different place to sign the sale agreement and hand 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 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 could purchase title insurance to avoid such a scam.
You might protect your data better and thus avoid being scammed. If the scammers do not have any of your personal information; they cannot create fraudulent documents.
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. 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.