Real Estate Fraud

Most of the frauds by which scammers carry out their black affairs with real estate have become more than known. Simple human greed and unwillingness to pay money most often lead people. Or the people who have just arrived in this or that city can become a victim of swindlers and that is why they are still poorly oriented in the price situation. If a person is offered a cheap purchase of an apartment, but you need to pay an advance cash and rush you with a sale transaction, then in such a situation you need to be very careful.

But, despite this, you can offer to buy any property at a fairly high price. Sometimes there are situations when a client is offered to conclude an exclusive contract with the agency, on which you can sell your property at a price several times higher than the market value.

Very often all this ends with the fact that agencies after a while start offering to significantly reduce the price of real estate due to lack of buyers, and the price reduction is necessary in order not to waste your valuable time. But as such fraud in the agency's actions is not, because in this way they simply attract as many customers as possible with their false promises. Know that it is almost impossible to sell your property even 20% higher than the market price, as well as to purchase an apartment at a discount. If you received a proposal to make such a transaction, then you should be vigilant in this situation, as buyers of your property know the value of money and do not want to overpay, however, just like you do not want to lose.

A few years ago, such a system of real estate fraud as a financial pyramid in real estate was popular. But, despite the fact that such a pyramid contributed to the devastation of many people in the nineties, but still believed about the rapid enrichment in people.

Financial pyramids in real estate operate in the same way as the well-known financial pyramid of MMM, and they also borrow a scheme of work in the field of network marketing. This financial pyramid in real estate is implemented as follows. The client is offered to buy real estate for only 30% of its value, but there is one condition and it is that the same client should bring several people who will also make a deal with similar conditions. Sometimes such a scheme works, then if you are in this pyramid first, then you can buy real estate, but more often no one gets anything. And also you should understand that nobody will return your initial payment. And besides, it's not so easy to find people who agree to join such a pyramid.

Another quite common system of fraud is the viewing of apartment options for money. Of course, no one will simply give the buyer of the apartment a base of apartments for sale, but still the question remains open, how can one learn all about "information services"? And so the realtors of the assignment agree with the buyer that if the realtor finds a good and suitable option, then in such a situation the buyer is obliged to pay compensation to his leading realtor.

First everything goes very well, the realtor finds the client a great option, the owner of the apartment agrees to sell it, the client's realtor gets a decent reward, but after that the deal breaks for some unknown reason. And after that, the buyer discovers that, judging by the contract concluded, the money that the realtor instructed is no longer possible to return, or the agency employee disappeared in an unknown direction. Very often the agency has an agreement with the seller of the apartment, but in most cases it is simply impossible to prove.

Experienced and professional brokers recommend paying rewards to their realtors only after the conclusion of the transaction, etc. Sometimes an agent of a real estate company shows an example of what the buyers agree with the seller and as a result the realtor does not receive a reward, so the premium should be paid immediately, but such words should not confuse the buyers . Act on the right, legal, transparent and legally competent scheme, then in such cases, the risk is minimized, and if you lose money, then in the minimum amount.

How can you protect yourself from scammers? There is a huge variety of tips. If the buyer still decided to use the help of a realtor, then it is better to choose it, judging by the recommendations of friends or acquaintances. An honest broker or broker who has been working in the real estate market for many years, does his job well and conscientiously, the benefits of such a realtor will be much greater than the employees of a real estate company that has a good reputation and the company is fairly stable.

It is also worthwhile to be more vigilant when you are going to buy real estate at a lower or higher price than the market value.

Also, the buyer must be very careful when paying the advance, because according to the contract, if the advance is paid, but the transaction has not taken place, then no one will return money to you. If you are attentive and properly approaching the registration of a transaction with real estate, then you can protect yourself against a huge number of scammers.