Zack Childress Types of Real Estate Scam and Prevention Methods

2. Zack Childress Types of Real Estate Scam and Prevention Methods PART-1 SCAM TYPE PART-2 SCAM TYPE PART- 3 SCAM TYPE

3. PART-1 • Zack childress,the real estate scams happens on a frequent basis. So for new investors, Zack Childress presents his ideas in this article which will be an eye-opener, you will get to know about different types of real estate scam  and how to prevent it. Automated wholesaling system is used for co-wholesaling purpose and recommended for new investors to do scam-free real estate investment.

4. PREVENTION METHODS • Title fraud • Online scam • Training programs • Home improvement scam • Dual agent

5. 1)Title fraud • First find all the details about the seller before purchasing the property. • Title insurance is one of the safest ways to insure the property. • Many become victims when you fall short of the money.

6. 2)Online scam • The fraud goes to a level where keys are exchanged. • Scammers use Google images to create fake property ads • You can add watermark so that scammers will not use your picture

7. 3)Training programs • Real estate free courses, workshops are conducted just to collect money and you will not gain knowledge. • conducting, venue and reputation of the organization who conducts it.

8. 4)Home improvement scam • You should first enquire about the company before hiring for doing home redesigning. • Ask for contact information; do not give any blank checks as advance payment. • Enquire about the experience of the contractor and hire.

9. 5)Dual agent • The dual agent scam is prevalent; the agent works for both buyer and seller to get high commission. • The first-time buyers are usually fooled by the sellers to pay the commission of the buyer’s agent which is actually to be paid by the seller.

10. PART-2 Zack childress con artists are using sophisticated techniques to do fraudulent things. Real estate investors are more vulnerable to such scam activities especially the new investors and first-time homebuyers. The first type of fraudulent activity involves home-owners who are the victims of this scam. It usually happens when they fail to pay their mortgage and their property is nearing the foreclosure.

11. PREVENTION METHODS • Some first-time homebuyers without knowing it, pay a fee, give the details and scammer will call and inform that the application has been rejected. • Wire-transfer is yet another common way to cheat a buyer • The buyer should be cautious and avoid such deals.

12. scammers make use of this opportunity, they start making offers which are available for limited period of time. • Foreclosure scams happen with a promissory note where scammers who pretend them as agents and assures the sellers to sell their home without getting foreclosed. • The victims are selected by various ways like online advertising, contacting already foreclosed home owners, and target specific groups.

13. How do scammers make offer for a foreclosure? • Negotiate the offer price • Claims that they can do forensic audit etc • Refinance your loan

14. PART-3 • Zack childress predatory lending involves false appraisals, misrepresentation of information to get loan sanctioned, lending more money than borrower’s affordability, not charging mortgage rate as per credit history, charging money for non-existent services where all comes under fraudulent activities.

15. How to avoid predatory lending? • This will help you to get a knowledge in prior about the home buying process. • Interview real estate agents before hiring; don’t choose the first one whom you interview. • Enquire about prices of neighborhood homes and then make your offer (asking price).

16. Rental scams • This fraudulent activity may take place when either the landlord or the tenant misuse the availability of the property as well as misrepresent the terms. Fake advertisements and response are given by the scammers to sell the property.

17. PREVENTION METHODS • They will quote a price very less than the cost of the similar homes in the neighborhood. • The rental agreement will have many grammatical errors, spelling mistakes. • The scammer who pretend to be a landlord will not encourage the buyer to have an agent in the transaction and ask you to sign the lease even before you see the property and perform home inspection

18. As wire-transfers cannot be refunded, the scammer will ask you to do all the payments via wire-transfer. • The rental amount will be exorbitantly high. • You cannot verify the renter’s income • Calling on behalf of your friend to enquire about the property is a usual way of starting the conversation where you should pause and ask , whom the friend is and other information • Depositing more than the required rental amount

19. Vacation property scam • Check whether your property is located closest to some tourist spot or any vacation home in the surrounding. • Enquire about the proprietor and listing agent. • Visit real estate licensing agency to know your rental rights. • Make your payments via credit card so that even any fraudulent activity takes place, it can be tracked.

20. conclusion To know more about different types of scams, the solutions are given in various articles written by Zack Childress in his REI quick cash system. The investors can learn more about the types of scams in Part3 and also check part 1 for more information in REI Quick cash system See More@ http://zackchildress.com/ http://zackchildressreviews.com/ http://zackchildressrealestate.com/ http://co-wholesaling.com/ http://reiquickcashsystem.com/ http://reisuccessacademy.com/