The scoundrels of real estate
In the early days of television, networks produced a number of Westerns. If you happen to go back that fa
r, you can remember Roy Rogers, Hopalong Cassidy, Gene Autry and my personal favorite, The Lone Ranger - there’s something about a man in a white hat … I digress. Any one of these “do-rights” of the American West could come speeding up a rise on their trusty steed, only to reach the apex and discover a telltale sign of trouble off in the distance: vultures circling in the air. With rescue on their mind, they would high-tail it down the ridge to offer help to the wounded or dying.
If only life were that simple today.
Today’s vultures aren’t that easily recognized. They don’t physically fly over their prey, but they do use lies to circle around the downtrodden and pick off the bones of their better judgment and integrity. I’m talking about real estate scam artists. I don’t really like calling them “artists” - it’s too kind a term. I don’t like giving them any credit for their trickery and deceitful ways. Good, honest, hardworking and retired people are being bamboozled by this element I’d rather call “real estate scam scum.”
These greedy varmints promise help and an answer to people’s foreclosure woes and leave them humiliated and in worse shape than when they started. A cunning group, they use information that’s a matter of public record to find their victims. Those especially vulnerable are citizens who use English as their second language. But even those with a good command of the language are being duped.
I’ve read a few different scenarios, but here are just a couple: The first is an offer to help renegotiate a mortgage. With a promise to save the family from foreclosure, a hefty fee is charged to handle all of the issues with your lender. Homeowners are instructed to ignore phone calls from their mortgage lender and are assured the renegotiations are in the works. As time passes and the owners are still receiving foreclosure notices, it becomes quite apparent the “renegotiator” is nowhere to be found - and neither is the homeowner’s money.
Another set of scoundrels are those who offer to buy the home outright (for less than market value) and then allow the former owners to remain in the house as renters. It sounds good to the financially desperate homeowner. Once ownership is passed to the scammers, they resell the house for market value, make a tidy profit and evict the former owners. Have they no shame?
Be aware that scammers are using print ads as well as the Internet as a vehicle for a promise of help. As you read these offers, keep in mind a general rule: “If it sounds too good to be true, it is!” Don’t let your feelings of desperation control your better judgment. Here are some dos and don’ts I strongly suggest:
- DON’T sign anything without the advice of legal counsel or a financial advisor.
- DO check with your state Attorney General’s office for possible previous complaints. This may take time, and if you’re dealing with a scammer, they won’t stick around.
- DO contact your mortgage lender. Contrary to what you might think, they want you to stay in your home and they will work with you. It’s possible they will be able to offer a renegotiation of your mortgage.
- DO call the Federal Bureau of Investigation (FBI), Federal Trade Commission (FTC) or Mortgage Bankers Association (MBA) if you have been defrauded.
- DON’T be too proud to seek help. The U.S. Department of Housing and Urban Development (HUD) and the HOPE for Homeowners program are two places to begin.
If you’re sitting pretty real estate-wise, this information might not be for you. But it’s possible you know someone who could use these warnings. Share what you know and keep your eyes and ears open for any outlaw trying to swindle homeowners. You too can lead “the fight for law and order” - without even wearing a mask.
Posted by Sharon Walker
Tags: foreclosure assistance, hope for homeowners, HUD, real estate scams