Foreclosure Scams in Houston and surrounding areas.– Beware Of Scams Like These

 

Over the last five years, foreclosure rates have reached unprecedented levels. Unfortunately, as is often the case, when there is an opportunity or when people are in distress, unscrupulous individuals tend to emerge from the shadows to take advantage of unsuspecting homeowners.

There has been a noticeable increase in foreclosure scams in Houston and its surrounding areas in recent years.

We have been assisting homeowners for a while now, and we regularly speak with individuals facing foreclosure every week. The stories we have heard are truly disheartening, as we have come across numerous instances where homeowners in foreclosure have been deceived by fraudulent individuals posing as trustworthy "real estate investors."

Not All “We Buy Houses” Companies Are Created Equal

You may have come across signs or websites that advertise "We Buy Houses Houston and surrounding areas." It is true that we also buy houses in Houston and its environs. In the following discussion, I will guide you on how to differentiate between potential scams and legitimate house buyers in our locality.

To summarize, there are legitimate companies that purchase homes from individuals who need to sell. However, the similarities between scam investors and reputable companies such as ours end there in some cases.

In this article, I will guide you through some of the methods employed by a minority of individuals to exploit homeowners like you.

This guide is intended to raise consumer awareness and help you identify the companies to avoid, as well as identify the "we buy houses" companies that you can trust. It is important to note that the majority of home buyers are trustworthy individuals with great integrity, but it only takes a few bad actors to spoil it for everyone else.

Some Tips and Warning Signs That You May Be Stepping Into A Scam When In Foreclosure

If you are facing foreclosure and seeking a way to avoid it and receive foreclosure help in Houston and its environs, you may encounter some less-than-honest companies that offer the following "solutions."

Charging upfront fees to provide mortgage assistance from your lender - Fannie Mae clearly states that assistance is free. Some companies may attempt to charge you for communicating with your lender regarding your mortgage in search of a solution. Do not be deceived by such companies. You can freely discuss your mortgage and options with your lender at any time or collaborate with a company that offers loan counseling for free.

Signing over the deed to your home to "save" your house - this proposition seems counterintuitive from the start. Some unscrupulous companies may suggest that signing over the deed to your home (which essentially means relinquishing ownership) can save your house. However, as advised by Fannie Mae, never sign over the deed to your house unless you are working with your mortgage company to have your debt forgiven or if you are physically selling your home to that company. If the latter is the case, request that the company conduct all transactions through a reputable title company to ensure everything is legitimate (and always seek legal advice before signing over your deed).

Do not unwittingly surrender ownership of your home - scammers may target homeowners by offering to pay off their mortgages. In some cases, these scammers may include clauses in the paperwork that relinquish your ownership rights to the house and transfer them to the scammers. A reputable company will be fully transparent, with no hidden clauses, and all details will be disclosed before any documents are signed. Nonetheless, as mentioned earlier, it is always advisable to have your own expert review any paperwork before signing, even when dealing with a highly reputable company, to ensure that all details are in order.

Avoid companies that claim you don't need a title company or other professionals when selling your home - selling your house, whether in foreclosure or in need of a quick sale, should involve the assistance of certain professional services. For every house we purchase, we always employ a neutral third-party title company to handle the closing, draw up the closing documents, and manage all related paperwork. This instills confidence in the house seller and ensures that there is no underhanded behavior on either side of the transaction. If a house buyer suggests doing a "kitchen table closing" (signing all the papers at your home) rather than using a title company or an attorney's office, ask why. Kitchen table closings may work, but using a title company or an attorney's office helps safeguard both parties and guarantees that everything is done correctly.

Beware of the mortgage payment scam - some scammers may deceive homeowners by instructing them to make mortgage payments to them (instead of paying the bank directly) and then assure them that they will handle paying the bank. Under no circumstances should you engage in such a practice unless you obtain your mortgage company's written approval. Some of these scammers may take your payments and keep them for themselves without paying the mortgage company, which could damage your credit and leave you in a worse position than before.

(Source: Information sourced from Fannie Mae website)

Do Your Homework And Do Business With Someone You Can Trust

We purchase houses in Houston and its environs and assist individuals facing foreclosure on a weekly basis. Therefore, we have a strong understanding of the market and have observed numerous instances of dishonest practices perpetrated against homeowners who were previously deceived by scammers before discovering our services.

We purchase houses in Houston and its environs and assist individuals facing foreclosure on a weekly basis. Therefore, we have a strong understanding of the market and have observed numerous instances of dishonest practices perpetrated against homeowners who were previously deceived by scammers before discovering our services.

Our advice is to conduct your own research. Before doing business with any "we buy houses" company, ask plenty of questions to ensure that they are genuine, honest, and capable of following through on any offers they make. Some investors may make multiple offers and retract those they are unable to finance. At Houston Area Home Cash Buyers, we only make offers on properties that we are certain we can complete if our offer is accepted, without any ifs, ands, or buts.

If you’re in foreclosure and need assistance, or just want to know your options… If you are facing foreclosure, we recommend that you visit your local foreclosure counseling service or browse our site and schedule a free Foreclosure Prevention session with one of our foreclosure experts. Alternatively, if you are looking to sell your house quickly, we would be happy to have a conversation with you. We will listen to your situation and learn about your property, then make you a fair, all-cash offer within 24 hours of our talk. We can close the deal in as little as seven days. The best part is that there is no obligation, no pressure, and no hidden fees. You can take as much time as you need to review the offer, seek advice from trusted sources, and even shop around with other "we buy houses" companies if you wish. We will be here for you, and you can begin the process whenever it is convenient for you.

If you are interested in receiving a fair, no-obligation offer today, please visit our website and complete a brief form. We will then contact you promptly, inquire about the property, and present you with an offer the same day.