South Bay Homes and Real Estate

Torrance real estate forclosure scams: a real danger

Are you a homeowner who is facing foreclosure who feels desperate and would try anything to save your home? You might also feel like you need to do something fast, but it is important not to let desperation cause you to turn to the first option you find. Homeowners who let desperation cloud their otherwise sound judgment often find themselves victims of a foreclosure scam.

Things may seem bad enough, but with the right help you can still find a professional who will help you explore your best options. To avoid falling victim to foreclosure scams, the best way to protect yourself is to know not only who is out to help you but also who can explain the difference between themselves and a scam. Most foreclosure scams can be avoided by consulting a knowledgeable Torrance CA Real Estate Agent. Foreclosure scams come in a number of different formats, and many are easy to spot.

With the current mortgage crisis, every day more people, who have not consulted a licensed Torrance CA Real Estate Agent, are in danger of falling to another scam. This type of scam that you will be on the lookout for is when an individual or a company approaches offering to help but as a part of the deal they offer to provide you with a loan. The only problem is that it may not be a loan. Some Torrance Homes For Sale are not even owned by the original mortgage holder who is living in the house. The documents you sign may actually be a foreclosure scam which signs your property over to them and places your home out of your control almost entirely. To add insult to injury, you often end up agreeing to rent the property from them at a very high rate. Even worse, as a renter you lose the protections you may have had as a homeowner, meaning that if you cannot afford to make the rent payments, you will be evicted from the home that used to belong to you.

Other Torrance Real Estate and Homes for Sale have been listed recently because of another foreclosure scam which preys on desperate homeowners involves having an individual or company coming to your rescue by offering to negotiate with your lender on your behalf. As if you could afford any more bills, these self-styled rescuers charge you for the time-period in which they negotiate with the bank to prevent your foreclosure. The scam is that the individual or company supposedly rescuing you is not even bothering to contact your mortgage lender at all. They just pocket your last financial reserves and you still end up facing foreclosure.

Another scam operates with the same approach of supposedly working on your behalf except the object of this foreclosure scam is that they want to strong-arm your home from you. Like the foreclosure scam before, the rescuer can be either an individual or a company. The difference is that in this scam the self-styled rescuer in question is not necessarily after your money, but more your property. They will instruct you not to contact anyone for help, aside from them. You are instructed not to contact anyone but them. They instruct you not to speak with a lawyer, not to talk to your mortgage company, a Torrance CA Real Estate Agent, and not even to make mortgage payments. Right before the foreclosure proceedings start, the scammer will then take every step possible to take your home.

Just remember to be careful not to believe that the individual in front of you is different. Desperation and despair can cloud one’s judgment. First, do not sign contracts or legal documents until you have them reviewed by an attorney. Second, do not let anyone choose your attorney for you.

When you consult an attorney, be sure to choose your own attorney and make sure you know that he or she is a real member of the bar and include at licensed Torrance CA Real Estate Agent in helping as well. Additionally, remember that you are still in control at this point, so be careful if the attorney only offers one option, especially if the attorney was suggested to you. An attorney could also be in on the scam.

These three foreclosure scams are just a few that you may run into, but they rank among the most common foreclosure scams which have caused the most damage and heartbreak. The good news is that you now know what to look for. This information empowers you to avoid falling victim to foreclosure scams.