Red Flags of Foreclosure Related Scams

With the high number of foreclosures lately, foreclosure-related scams have exploded onto the real estate scene. Many scams are aimed at homeowners in foreclosure, investors, buyers, tenants, and other people involved in the foreclosure process.

Once a person is late on their mortgage payment- a notice of default is filed and that notice becomes public knowledge. Anyone now can contact an unsuspecting person and lure them into a scam.  

 

The following are some red flags to watch out for:

 

1.       Asks for money upfront before providing any service

2.       Asks for payment only in the form of cash, cashier’s check, or wire transfer

3.       Asks for a transfer of title or an interest in the property

4.       Gives an unqualified promise to stop foreclosure or other assurances;

5.       Offers to buy a home for a price above its market value

6.       Asks for something to be done immediately without delay

7.       Asks for the homeowner to give a power of attorney

8.       Asks for signatures on a grant deed or deed of trust

9.       Asks for signatures without giving homeowner a lot of time to review the documents

10.   Asks for signatures on a document that has lines left blank

11.   Fails to provide copies of documents signed

12.   Refuses or fails to provide an oral promise in writing

13.   Instructs a homeowner to make mortgage payments to someone other than the lender

14.   Instructs a homeowner not to discuss the situation with the lender, housing counselor, accountant, attorney, family, friends, or others.

Avoiding Mortgage Scams

I’m Late with my Mortgage…HELP

VA reaching out to Vets with Mortgage Problems

Making Home More Affordable Program

 

The Home Team Girls Realtors® Real Estate Team helping you with Investment properties, Homes For Sale, Relocations, Seller Strategies, Certified Buyer’s Agent, Serving the Military and Veterans, Bank Foreclosure Specialist, Short Sale Specialist. We use the service of a certified  Home Stager on all of our listings. For Roseville and Sacramento Realtor Services call on the Home Team Girls.