Property and real-estate frauds are not uncommon in Bangladesh. These acts of fraudulence come with changing theories, with succession and upgrades of several methodological approaches. There are several instances where people fall victim to these real estate scammers’ traps. The business of real estate is a tricky one. In today’s world, where technology is vastly saturated, scammers thrive in the real estate market. A multitude of sketchy scams can capture your attention with suspiciously attractive offers. In such cases, it is imperative to be skeptical and avoid those. Here we have jotted down some top-notch real estate scams to help you detect the crime and protect you from the predatory real-estate cons.
The fraud of the escrow wire
In these kinds of scam activities, the fraudsters set up fake web pages and sites that resemble the title or your associated lending company. They will also send you an email, text you on your phone or directly give you a call purporting to be from the title or escrow company. They will provide you with specific instructions on where to wire your escrow funds. Using a spoofing mechanism, they also make everything (phone number, email addresses, websites, etc.) similar to the original company except one thing (a letter or a digit), which is quite hard to understand or detect at first glance. As a result, anyone can be fooled since the appearance is closest to the original. If you fall victim to such escrow frauds, they will successfully withdraw your funds to an offshore account and will flee away.
Avoid the scam!
Before sending any money or fund to a third-party, always check the original documents you received from the lender. Call the phone numbers from the listing inside the documents and verify the wiring instructions that you received. Do not click on any text links or email without verifying the guidance of the escrow wire with a live person on the contact number that you have called. Bproperty is always there to provide you with solutions regarding these issues. Follow our real estate solution page to understand more about selling, buying, and renting a property.
The foreclosure relief scam
People who have attained a loan default and, as a result, have fallen behind in mortgage payments easily become desperate to save their homes. That is the perfect time for scammers to come and play with them. They somewhat keep track of the public records of homes in pre-foreclosure through accessing the database. When they can trace a loan default, they start offering multiple foreclosure relief offers, claiming that they can help the owners save their homes through a hefty up-front fee. The fee will also reduce their mortgage payment. They also show multiple fake brand accreditation and certification to prove themselves real.
Avoid the scam!
To avoid foreclosure, contact directly with your loan servicer and scheme modification of your existing loan model with them. You can request a forbearance or make other arrangements. Homeowners can take help from the legal team and lawyers of Bproperty who are always available to help you with such legal issues.
The online rental scam
Bproperty has pioneered the concept of an online marketplace for verified real estate buying, selling, and renting in Bangladesh. Bproperty is the only real-estate solutions provider in Bangladesh with the best properties according to your necessities through proper verification of papers and documents. Many other online marketplaces have integrated property selling and rental services with other products and services. Due to this, many scammers get the chance to lift an actual listing and repost it as their own on another site with an alluringly low price tag. As a result, people who are in search may become confused and tend to go for the cheaper ones.
Through such real estate scams, they easily fake it through accepting a registration fee or an installation fee, primarily through bank or wire payments, claiming it to be their property. They might say that they’re out of the country or unavailable to show you the property for a significant amount of time. They might ask you to send money to a third party on their behalf.
Avoid the scam!
To avoid falling victim to these real estate scams, never transfer or pay any money. If they request a deposit, ask them to provide you with legal paperwork. Don’t try to buy/rent a property without visiting the site. Always check the legal documents and frameworks before proceeding further.
The title-fraud scam
The title-fraud is one of the most dangerous and devastating of all the real estate scams. It can happen with the people who are incredibly inexperienced in the real estate business. This scam involves identity theft. The scammers here pose as the owner, present fake property documents to the buyer to transfer the property into their name. Upon verification, after the payment is made, it is found that the property is not registered at all. This property might also be under the mortgage of a financial institution. They actually take the cash for themselves and leave the new homeowner liable for the repayments or clearing the foreclosure.
Avoid the scam!
There are two very well authorized ways to avoid this one. You can purchase title insurance to get protection from false impersonation of scammers as well as their legal fraud papers. These insurances offer financial protection from such scammers.
Secondly, always guard your data. Don’t disclose documents with your private information (NID, Passport, etc.) to anyone until they are verified as authentic. Take precautions before massive sum transfers as well as credit card payments.
The trap of the loan sharks
Loan sharks are the biggest real estate scams in the entire world. They imply their predatory lending to the most vulnerable customers alluring them to sign up for mortgages with excessive fees and high-interest rates. People who fall into this trap are tricked into paying more than they can afford. As a result, they risk ending up with a bad credit rating, eventually losing their homes.
Avoid the scam!
It’s simple. Don’t be fooled by signing a bad deal. Do enough research on the lender before progressing. And it’s wise to take a loan from banks and financial institutions rather than from predatory loan sharks. With bank loans, you can rest assured that your deal is safe and you have successfully avoided one of the real estate scams.
Scammers are a real thing. To ensure accurate equity of the property you want to buy, sell, or rent, always contact property experts and the legal advisors. Bproperty provides all kinds of real estate problem solutions to lessen your burden and save you from such traps of scammers. If you have any queries or confusions regarding property scams or if you think you might have experienced a similar situation, feel free to contact us at Bproperty or leave your thoughts in the comments section below.