There is a widespread scam in the real estate scenario, and these scams result in the homeowner losing a lot of money. Sometimes, the owners are put to difficulty and they lose their homes resultantly out of the scams. Scammers make false claims which they cannot maintain. The scam artist says that he or she can retain your home or cut off the mortgage payments.
The way by which a foreclosure scam works:
Newspapers, web, government offices are just some means through which the scammer gets to know about a distraught homeowner. Then they will proceed with their scam through various methods. They may even turn up personally. The scammer promises that the homeowner can easily retain the home, maintain the credit rating or get immediate money.
The scammer will brainwash the homeowner in such a way that the homeowner loses contact with the legal financial solutions. The scammer usually prefers making an instantaneous profit by means which the lender never gets to see. In some cases, the scammer will even go to the extent of taking up ownership of the property. How? He does this by cheating the homeowner. So the key is that the homeowner should be very careful.
When it is already late, the scammer assumes ownership of the property. Else the owner loses the home as foreclosure is taken up.
Legitimate companies will spare enough time with the property owner. They involve themselves in the documentation process by gathering it from the homeowner. They will keep you well-equipped about the process so that you don’t have any problem whatsoever. Writing is the mode of dealing the agreement. When you desire to seek the assistance of a legal expert , lawyer etc. the representatives will not stop you from doing so. Also, upfront promises are not made by these companies.
Here are some tips when you are finding it difficult to pay your mortgage
- Be cautious of individuals who ask for payment of fess for mortgage modification services. In majority of cases, claiming fees beforehand for a modification is not within the law.
- Only the mortgage company could scrutinize and give a loan modification.
- The address that is available in the mortgage statement will be different from the address the scammers ask for payment. Be careful with such things.
- Don’t fall for a person who tells that he will assist you with your application process. Don’t make any sort of payment for this type of scam.
- Don’t pay money to someone blindly through wire transfer for the purpose of upfront payment.
- Be cautious of those people who suggest that you suspend your mortgage payments or sever ties with the mortgage company.
- Don’t fall under the trap of someone who tells you that he will deal with the deed of the property.
- A HUD-approved housing counseling agency will assist you in the process.
Zack Childress has profound knowledge of real estate. He wears many hats and gives training on the real estate scenario.