4 Common House Buying Scams To Look Out For

Buying a house is one of the biggest decisions a person will ever make. The process can already be tough to navigate through, and it is made even more difficult in the fact some people do not have your best interest at heart. Before you get a homeowners insurance policy on your new abode, you need to avoid these house buying scams that can cause you to lose a ton of money.

 

  1. Mortgage Closing Scam

One scam on the rise involves a buyer about to close on a house. However, before the deadline to make the down payment, the prospective buyer receives an email saying he or she needs to wire the money to a new account. This phishing scam occurs when the scammer gets ahold of your personal information and sends you an email that looks strikingly similar to the real estate agent’s. The email may be virtually identical except for one letter. The easiest way to avoid this is to be cautious when dealing with someone over email, double-check all the information and to contact the agent before wiring any money.

 

  1. Unlicensed Realtor Scam

Any realtor you work with should have a license. In this instance, the realtor can take the money and deposit it into his or her own account rather than an account for escrow. Before working with any realtor, you should thoroughly vet the individual. This involves more than simply making sure the person has a LinkedIn account. You should also make sure the person’s real estate license is not expired.

 

  1. Fake Viewing Scam

You may get in touch with a realtor to see a home. As you drive over to the building, the realtor contacts you to say he or she will not be able to make it. When you arrive, you see other people viewing the home. You call the realtor stating your interest, and you make an offer. You put down the money and believe the house is yours, but when you go to move in, you see someone else moving in, too. In this scam, the realtor was not a realtor at all. It was just a person who found an open listing online and sent a bunch of people to the house, hoping one of them would want to put down money. The easiest way to avoid this scam is to actually meet your realtor in person at some point.

 

  1. Moving Company Scam

You may even have to contend with real estate scams even if the purchasing process went smoothly. There have been numerous examples of moving companies taking all your stuff and deciding they should be paid more for their trouble. The company will essentially hold your belongings hostage until you pay. This is why you always want to give due diligence to any moving company you hire.

 

After you avoid all the scams and have purchased a wonderful home, you need to keep it insured. Contact BOLT Insurance customer service by calling 1-800-216-4171. Buying a house can be stressful but keeping it insured should be as simple as possible.