Foreclosure scams grow rampant in todays Real Estate market

Today’s real estate market has brought an abundance of inventory, many of which are being sold as short sales, sold at foreclosure auctions or sold as REO properties. However, this market has also brought to our doorsteps scam artists hoping to prey on the misinformed public.

Many homeowners facing foreclosure or a short sale are constantly receiving phone calls, emails and unsolicited mail offering a solution to their problems. Many of these scam artists are so advanced with their techniques that they make themselves or their companies look very professional and many times look like government or state agencies.

The couple feature on the following video from the show Open House on CNN were facing financial difficulties when they received a very well put together marketing piece through the mail which fooled them in to believing that it was coming from a Florida state agency.

By answering an unsolicited mail piece, they became victims of what seems to be a foreclosure rip-off.

The first video explains about the case of this Florida couple, victims of what appears to be a foreclosure scam.

The second video has a foreclosure prevention expert from HUD and a representative from South Brooklyn Legal services explaining the major types of scams targeting homeowners facing foreclosure. Some of these “foreclosure rescue experts” claim to stop the foreclosure process but the reality of it is, they are just looking to rob you of the equity you have left in your home and strip you from the deed of your property.

You can read the transcripts for this show here.

Enjoy these videos and I hope they give you some ammunition to protect yourself so you don’t become another victim of these so called “foreclosure rescue experts”.

Comments

5 Responses to “Foreclosure scams grow rampant in todays Real Estate market”

A Homeowner’s guide: Short Sales and preventing Foreclosure Pt1 (the reality of a foreclosure) : My Home is My Investment on September 17th, 2007 7:40 pm

[...] mentioned on my previous post, beware of any agency that promises to stop the foreclosure process or promises to help you catch [...]
Agreement to Freeze Mortgage Rates is reached on December 7th, 2007 3:00 am

[...] don’t be fooled by emails, phone calls, postcards or letters from so called “foreclosure experts” or “short sale experts,” this new plan is not available for everyone. It is only available to homeowners who meet the [...]
Commercial Realtor on January 20th, 2008 3:09 pm

Hi clean webpage. Very useful info. Hope you’re having a great Sunday.
Mortgage Fraud: How a “Straw Buyer” Scheme Works : San Jose Real Estate : My Home and My Money on July 11th, 2008 5:02 am

[...] foreclosure process is when another set of scam artist most likely will appear. These scam artists will claim to be “foreclosure experts” and that they can stop foreclosure but the only way to stop foreclosure is to get caught up with [...]
What is Wrong with Buying One Today and Losing One Tomorrow? : San Jose Real Estate : My Home and My Money on July 17th, 2008 12:48 pm

[...] of the distressed emails I get from homeowners facing foreclosure ask me what I think about buying a home before losing their current one. To answer that question I [...]