With the recent rise in foreclosures, foreclosure-related scams have exploded onto the real estate scene. These so-called “foreclosure rescue companies” claim they will help save your home, but in reality are out to make a profit — at your expense.
If you are at risk of or in foreclosure, you should be on the lookout for foreclosure scams.
Here are some of the red flags to watch out for:
• Asks for money upfront before providing any service
• Instructs you not to contact your lender, lawyer, housing counselor, family, friends, or others
• Asks for mortgage payments to be made directly to his or her company or a bank account set up by that person, rather than your lender.
• Requires payment only in the form of cash, cashier’s check, or wire transfer
• Promises to stop the foreclosure process, no matter the circumstances
• Advises you to transfer your property deed or title to his or her company
• Offers to fill out paperwork for you
If you have been a victim of a foreclosure-related scam or approached by a scam artist, you may report the incident to organizations and government enforcement agencies. Click here for details.
Brought to you by CAR and your Real Estate Professional – Regina Singh.