According to a survey buying a real estate can be more challenging than getting married or switching careers. Which does make sense because real estate will certainly chunk a large amount of your savings and a significant amount of your time. With that much money involved, the stakes are inevitably higher because fraudsters may also take advantage of such opportunity to extort cash from unsuspecting clients. So, don’t be fooled and risk losing all you life’s savings in one ill-advised transaction. Be alert and watch out for these three common signs that should help you avoid fraudulent transactions:
- The landlords are out of country
After you have fallen in love with the real estate and you have been led to believe how fortunate you are to have the property for less, you will be eager to get it done as soon as possible. However, when it’s time to meet the landlords, it turns out they are away somewhere.
ALERT: This is likely a con. If the realtor is asking you to transfer money in an account with no landlords in sight, this may be a fraud. Say that you can’t proceed without seeing them, even if there are other buyers willing to offer the money and take the place. It may look tempting but don’t go for it. Always check owners name from credible third-party sources. There are now online places which offer those types of housing information.
- Foreclosure home
This scam involves a fake agent selling a foreclosed on home. The agent will break in a home and will take you on a tour. The deal will be scrupulous. When you show interest, the agent will ask for a tiny token deposit to close the deal before someone else supposedly gets ‘ahead.’ They will also give you the key and will may make you sign a fake property title deed with a promise to meet soon for final documents.
ALERT: The phone will not work and no one will see you. They keys may work but soon you will learn the property documents are fake and you lost your deposit.
- Pre-determine drops in price
When a fake agent realizes you are not interested, they’ll may cheapen the deal by sharing insight knowledge of pre-determined price drops. In other cases, they may also play other tricks to make you believe you can get the same home for much less.
ALERT: If it is too good to be true, it probably is. Never sign anyone with this attitude as your listing agent.
Purchasing a home is a monumental and important part of anyone’s life. However, one should approach this with caution since anytime a large sum of money is involved, tricksters may choose to strike at the most unsuspecting and opportune time. Don’t be hesitant to check if your agent is working with a valid state license. As the client, it’s your right to exercise all precautionary measures to protect your savings and your investment to the future.