We’ll be honest here.
There are various “We Buy Houses” companies all across the world who’d love nothing more than scamming you.
And that’s the reason we want you to really cautious while dealing with such companies.
We are a “We Buy Houses” company ourselves.
And we have witnessed dozens of scam stories and want to address this situation.
The thing is, there are a few tricks you can equip in your arsenal to learn whether a “We Buy House” company is legitimate or not.
That’s what we would like to shine a light on here.
In this blog post, we will be taking a look at some tips that’ll help you avoid such scams.
Well then, let’s dive.
Tips to Keep in Mind While Dealing with
“We Buy Houses” Companies
Here’s a list of the points we’ll be discussing:
- Understand the flow of money in a transaction
- Earnest money’s a part of the process
- These Companies will be very eager to buy your house, without even taking a brief look at your house
- Gut feeling
Let’s take a look at each of them.
Understand the flow of money in a transaction
That’s the most important point you need to keep in mind.
The first step is to have a better understanding of the scams.
In a legitimate real estate transaction, money usually flows from buyer to the property owner and not the other way around.
These companies will usually ask you to pay those hectic administrative and processing fees.
Once you transfer the money, they will sail off.
That’s what usually takes place.
These fees won’t be anywhere near your houses’ value.
But $200 or $5000 isn’t a small amount.
Can you afford losing this money?
These companies usually target desperate sellers who really want to sell their house.
Once you pay them the money, they will change their phone number and will move on to their next prey.
A legitimate real estate transaction involves the company writing you an offer.
And it won’t charge you anything.
Now, it’s your choice whether you’d like to accept the offer.
Once you do, they will pay you the money.
Earnest Money’s part of the process
If the investor isn’t willing to put up earnest money, then they are acting as “bird dogs.”
What they usually do is that they lock you into a contract. And there’s a really low chance of this contact biting on the deal.
And that’s not something we believe in.
We’d love nothing more than putting down the earnest money.
Once done, we will definitely be buying your home.
It’s not any additional money we are paying.
Consider it as an advance.
These Companies will be very eager to buy your house, without even taking a brief look at your house
These companies will really be eager to buy your house.
I’d advise you to go through this “Time Magazine article,” as it will perfectly help you have a better understanding of such kinds of scams.
No one, let me repeat that, no one, will prefer to buy your house, without even taking a look at it.
Well, a fake realtor or a “We Buy Houses” company will.
Trust your gut feeling
There are dozens of such scams that take place each year.
And never forget to trust your gut feeling.
Look for the minute details. Always ask questions.
Carry out thorough research prior to involving yourself with such companies.
Criminals, usually, think of innovative ideas to scam people.
We can’t warn you about all of the tactics.
The only tool that can help you is your gut.
If there’s anything that seems off, even the tiniest of detail, then simply cancel your plan.
If there’s some kind of unprofessional behaviour, stay away from such people. Check out their online directories. Look for Google Reviews. Thoroughly go through their website.
Look for the tiniest details.
You can always look for other offers.
Look at how these companies treat you. And if you observe nicely, you will have a better understanding of whether to proceed forward or not.
A guy named Oliver Ellerbe lost about $150,000 to a well-planned real estate wire fraud scam. You may read all about it right HERE.
It’s no secret that such scams are on the rise.
And you need to be extremely cautious.
At BuyingJaxHomes, we’d help you throughout the entire process and are experts with years of experience in the field.
Get in touch with our team to know MORE.