How To Avoid “We Buy Houses” Scams?

1. How To Avoid “We Buy Houses” Scams? When you are ready to sell your house in Cincinnati, you might assume that the only way to do so is to hire a real estate agent who will list your house on the open market and sell it to a buyer. However, you might be surprised to know that’s not the only way to sell a house. A real estate investor, or cash buyer, is a person or company that buys real estate for cash. Their intention is to flip it and create revenue from the sale afterward. Doing so is a perfectly legitimate way of purchasing real estate. However, there is a real lack of knowledge that exists around real estate investors which allows scammers to thrive. They’re able to leverage the hard work and experience of reputable cash buyers into conning hard-working people out of their money and houses.

2. How To Avoid “We Buy Houses” Scams? Selling your house as-is to a cash buyer can be a great way to sell if you find yourself in a situation where you need to move to or from Cincinnati quickly, such as with relocation or divorce. It can also come in very handy if you are dealing with a problem situation such as mold damage, water damage, termites, unruly tenants, or hoarders. And if the house comes with financial issues, such as foreclosure or tax liens, a direct buyer is capable of purchasing the house and removing those problems from your concern. All of that said it’s important to be aware of what that direct buying process should look like in order to identify the scammers who want to use the situation against you. Here’s how to avoid “We Buy Houses” scams in Cincinnati.

3. How To Avoid “We Buy Houses” Scams? Tips to Avoid “Cash For Houses” Scams Can You Prove Their Company Exists? Let’s say that you get a phone call from a person claiming to be a real estate investor. They say they want to buy your house in its current condition for cash and they want to close the deal as soon as possible. How do you know that person or their company is legit? You might ask yourself the same question when you see a “We Buy Houses” sign on the highway and are considering giving them a call. How can you be sure you’re dealing with a reputable investor and not a scammer? The answer is, simply, to do a little research. Start by asking them easy questions. What is the name of the company? What is their actual address in or around Memphis? Would it be possible for you to come by for an appointment? Who is the owner of the company? Is there a website you can look at to learn more?

4. How To Avoid “We Buy Houses” Scams? Do They Keep You Waiting? A legitimate real estate investor might offer you a deposit as a sign of good faith. Since the investor is very likely to purchase your house, they may want to ensure that there is some kind of agreement in place between you and them as they work out the details. It’s a sign of good faith on both sides, just like with any real estate transaction. Another way of doing this is if an investor provides you some proof of funds, which can ensure you that they have the money to buy your house as they’ve suggested. It’s all about creating trust between the buyer and seller so that the transaction feels mutually beneficial.

5. How To Avoid “We Buy Houses” Scams? Do You Understand How the Transaction Should Work? Perhaps the best way to spot a “We Buy Houses” scam is if you personally understand how a cash buyer transaction is supposed to work. One of the most important details is that the money in the transaction should always flow in the direction of the seller and never away from the seller. So if any real estate buyer ever asks you to give them money, perhaps in the form of an administration fee or processing fee, that is a massive red flag. Not only should you not do the deal but you may want to alert the BBB about it. Even if this investor is asking for a small amount of money, such as $100 or $200, that is still completely unnecessary.

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