Be Aware Of Different Home Buying Scams

With a rise in the number of people owning homes, the high increasing demands of employers to promote people and require business travel, has increased the number of people who wish to sell their homes fast to earn enough before they move into a new place. Many people who are set for a job transfer, those going through a divorce or others who simply wish to sell an ugly home want to get rid of it soon.

home buying scams

These are just some of the situations when they might be on a lookout for the best method to sell the home faster. If you were to sell your home fast so that you can move on and settle down in life, the most preferred payment option that you would want is to receive cash. Are you looking out for a method that will help you sell your home fast for cash? Have you thought about the different options that are available in the market?

Selling a home to an investor can be the best option when you are in need of immediate money. But, how reliable can these companies be? With the rise in the demand for such real estate investors after the flood of foreclosures after the economic collapse, there are also a number of fraudulent companies that tend to attract house owners with the attractive offers that they present.

House owners are often found falling prey to such companies, mainly with the intention to take your money before you know what really happened. Any standard deal will take some time and one needs to make sure that the person he is dealing with is a reliable one. There are a number of real estate scams that are occurring throughout the world. One needs to know each of these and the way these fraudulent companies work to be sure that they do not get involved in such scams. Listed below are a few common examples.

  1. Equity Skimming: This is the most common form of property scam that is found throughout the world. The cash buyer may ask you to sign a deal and make payments instead of the lending bank that holds the mortgage. This is a common thing when a company purchases a house from the owner facing foreclosure and rents its out to the owner himself. Such fraudulent companies may also compel you to move out of the home so that they could rent it out to another customer and earn money through it.

Such buyers tend to focus on earning money from the owner or the renter. They may even sell off the home without clearing the mortgage or may further lead the home into foreclosure that will be a loss to the owner.

  1. Bait and Switch: As the name suggests, it is clear that the owner may not get what he is being promised. Many times, a person posing as a representative of a real estate company may walk into a home, check the entire property and make an exciting offer that the owner may not be able to resist. This may just be a verbal deal that you two agree upon. But, when the deal is put on paper, the buyer may mention some clauses that may not be similar to those agreed upon verbally. You may not even have an idea about the changes that are made in such contracts. This kind of a scam is commonly seen happening all around the world. Most of the time, these fraudulent companies succeed in trapping these house owners mainly due to the ignorance that people show while signing papers.
  2. Offers from Foreign Countries: If you have set up an update on any social networking site or over the internet saying “Sell my home for cash” or “Sell my house fast”, it is likely to be seen by people belonging to a different country. You might get a call from many such buyers who claim to be citizens of a particular country and are planning to move into your country. Beware of such people who pose as buyers. You cannot simply trust anyone whom you may not know. Such companies may approach you with the sole intention of knowing your account number so that they can steal what you may already have.

A little awareness about the bad apples in the real estate industry, along with a little care, will help you avoid such companies. All you need to do is be alert and be sure that you know all the details about a particular company before you enter into a deal with them. Signing deals with a reputable real estate company which has closed many similar deals before is the safest decision that you can make.

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