Foreclosure Fraud, part 2

In my last post, I wrote about one method of foreclosure fraud, and now I will discuss another.

When you are facing foreclosure, you need to know that there are people who are preying on you. They find out who is likely to lose their home and they call these people offering “assistance.” Really, all they have in mind is making money off of the misfortune of others.

They dazzle distressed homeowners with promises that they will keep the home from going into foreclosure. They get homeowners to sign papers that say will save the homeowner from losing their home. These papers actually have a person selling their home to the foreclosure prevention company for a low price. The company then often will lease the home back to the homeowner at an exorbitant rent. Sometimes they will also give you the option to buy your home back from them—at a very high price, one that is much higher than the reduced price they bought it for.

Some people manage to make the high rent and stay in their home, but others cannot afford the high rent and lose their homes.

This doesn't have to happen to you. If you are facing foreclosure, contact your lender or a reputable real estate agent. Click on the title of this post to go to my website where you can contact me and learn more about foreclosure and short sales.