Four Common Home-Buying Scams and How To Spot Them

 

Scammers target unsuspecting homeowners as the market for hassle-free, all-cash house purchases grows. Your money can be stolen through a wire transfer fraud if it ends up in the wrong account.

 

Here, with the help of our experienced Rockwall realtors, we’ll go through some of the most common home-buying scams and how to spot them.

 

Here are some scams where fake buyers trick you into selling your house to them.

 

This buyer gets in touch with you, either online, through email, or the mail, pleading to purchase your house. They state that they’re overseas and won’t return until a specific date, but they need somewhere to reside. Then they propose sending you a cashier’s check to put down a deposit on the home.

 

After receiving the cashier’s check and depositing it into your account, the customer contacts you with a sad excuse for needing a refund. They may even offer to let you retain some money as an apology, but this is likely only to calm your suspicions.

 

The cashier’s check will be returned unpaid despite the lack of time—usually, a day or two after you return “their” money.

 

The buyer claims they sent you too much money by mistake and will seek a wire transfer refund as soon as you deposit the check. They’ll say they didn’t plan to spend so much on a home’s down payment.

 

You’re less cautious since you get to retain some of the money, but after some days, the check will bounce, and you’ll lose the opportunity to get your money back.

 

You’re dealing with an “investor” who wants you to sign a house contract quickly. They generally refuse to make a good faith deposit or provide personal references. This is because the buyer has no intention of really closing on the purchase of your home and is instead using the contract to solicit interest from other investors in the hopes of making a profit or receiving a finder’s fee.

 

You risk losing out on potential buyers and selling your property at a loss if they are unable to resell the transaction. Even though you won’t lose any cash, the time you could’ve spent selling to a serious bidder will be wasted.

 

A homeowner can have their house taken from them in a title or deed fraud. Mail theft is a common tactic used by scammers to access private information or fake signatures and papers to fraudulently claim ownership of another person’s property. They may attempt to collateralize a loan with your house.

 

The issue can typically be remedied, but doing so can be expensive. Keep an eye out for suspicious activity, such as the absence of mail or visitors to your home or a decline in credit rating.

 

 

Getting in touch with a skilled real estate agent in Rockwall is the best way to sell your house and prevent yourself from home-buying scams. You can trust our residential realtors to lead you in the right direction and protect you from fraud. Get in touch with us today to learn more about our real estate services.