Over the past five years, foreclosures have reached record levels. Unfortunately, with increased opportunities come dishonest individuals who prey on homeowners in distress. Foreclosure scams have become more prevalent, and it’s essential to stay vigilant.
Not All “We Buy Houses” Companies Are Created Equal
You’ve seen those signs that say “We Buy Houses” or websites like ours that mention the phrase. While many companies genuinely aim to help homeowners, some unscrupulous ones exploit those in vulnerable situations. This guide will help you identify potential scams and trustworthy buyers in Wilmington.
Common Foreclosure Scams to Watch Out For
- Upfront Fees for Mortgage Assistance Some companies may charge fees to help you communicate with your lender about mortgage solutions. Remember, as Fannie Mae states, help is free. You can talk to your lender at no cost or work with reputable companies that offer free loan counseling.
- Signing Over the Deed to “Save” Your Home Be wary of anyone suggesting you sign over your deed to save your home. Never transfer ownership unless working with your mortgage company to forgive your debt or selling your house. Ensure all transactions are handled through a reputable title company and seek legal advice before signing anything.
- Hidden Clauses in Paperwork Some scammers hide clauses in contracts that transfer your ownership rights to them. A trustworthy company will be transparent, with no hidden clauses. Always have an expert review any documents before signing.
- Avoiding Professional Services Selling your house should involve professional services, such as a neutral third-party title company. This ensures confidence and protects both sides of the transaction. Be cautious if a buyer suggests a “kitchen table closing” instead of using a professional service.
- Mortgage Payment Scam Some scammers instruct homeowners to pay them directly instead of the bank, promising to handle payments. Never do this without written approval from your mortgage company. These scammers often pocket the money, worsening your financial situation.
Do Your Homework
We buy houses in Wilmington and help people in foreclosure regularly. We advise doing thorough research and asking questions to ensure the company you’re dealing with is honest and capable. Some investors make offers they can’t fulfill, leaving homeowners in a bind.
At Chief Real Estate Solutions LLC, we only make offers we can close on. If you’re in foreclosure or need assistance, visit a local foreclosure counseling service or schedule a free Foreclosure Prevention session with one of our experts. If you’re looking to sell your house quickly, we’ll make you a fair all-cash offer within 24 hours. We can close in as little as seven days, with no obligation, pressure, or catches. Take your time to review the offer and consult with trusted advisors. We’re here for you when you’re ready.