Beware Of Short Sale Scams

These days, people hear about of a lot of scams related to short sale process because of which they are scared of calling a short sale agent. As a result of this, their property is foreclosed and they are left with no home and a severely harmed credit report. However, if you becomes a part of a short sale scam as a seller or as a buyer, you would likely end up with frustration, disappointment and lose a huge chunk of your money as well. Millions of dollars have already been lost by innocent people because of these scams.

Therefore, it is important for you to understand these scams and stay alert while you are dealing with the short sale agents. If you were asked to pay a fee for counselling, you are possibly paying way too much. However, if you are being asked to sign over the title of your property to a short sale agent or to redirect mortgage payments or even to stop making loan payments, you are already a part of a scam. However, if you don’t give in to these requests, you could be saving the day for yourself.

Remember that you can talk to as many short sale agents as you like as the counselling is generally free. If there is anyone who is telling you that you would be able to save your home by not paying the loans and transferring the deed of your house to them, you are being tricked. You would not only be becoming a culprit in the eyes of the mortgage lender and land yourself in trouble, but also lose your property as well as your money. In the end, you would be left with nothing at all. You are advised not to sign papers without reading them properly. If you have an attorney, make him read the papers and move forward only when you are completely satisfied.

You must also make sure that you don’t give your mortgage payments to anyone else but your mortgage lender when the short sale process is over. If someone else says that they are authorized by the company or if your short sale agent suggests that he would complete this process on his own, avoid his offers and make the payments yourself. Remember, you would be safeguarded only when you are fully aware of the short sale process yourself. Keep a critical eye on every process being followed by the short sale agents.