• 07
  • July
    2011

Our nation's continuing financial crisis has left many families worried about their futures. In desperation, homeowners may leave themselves vulnerable to mortgage scams and fraud.

While the FBI investigates and prosecutes these crimes, homeowners can protect themselves from becoming victims. Consumers should be wary of companies that seek upfront fees, advise discontinuing communication with banks or mortgage companies, guarantee results, or claim to be able to force lenders to modify or cancel debts.

In the case of individuals or companies offering to help sell or refinance properties, consumers should proceed with caution. Basic protection begins with checking the reputations and track records of real estate professionals. When an offer seems too good to be true, it is. Double check the terms and obligations presented by real estate professionals and alleged foreclosure specialists. Reject the "assistance" of real estate professionals who encourage false statements or ask homeowners to sign blank documents, and don't fall for offers promising "no money down" loans. Realize that signing unfamiliar or confusing documents can result in property loss and additional financial headaches.

Consumers can easily become prey for unscrupulous business people and Internet companies who do not have a problem taking advantage of a homeowner's financial situation and lack of intimate knowledge of the real estate industry. Maintaining communication with lenders and seeking the counsel of an experienced attorney are smart options to consider when trying to save your home; as this course will reduce the odds that you will fall victim to a scam.