Straight Talk: Know the signs of property deed theft

Better Business Bureau
·3 min read

Better Business Bureau serving Canton Region and Greater West Virginia offers tips and advice for consumers to avoid fraudulent practices.

This scam targets homeowners who are already financially vulnerable, leaving them buried in debt or even homeless. Here is how to spot the signs of deed theft before it is too late.

How the scam works

You are behind on your mortgage payments and live in an area with a hot real estate market. Someone contacts you, claiming to be a "foreclosure specialist" or similar title (in reality, scammers are using public records to find homeowners who are in foreclosure or behind on their mortgage). This person seems trustworthy and empathetic to your financial struggles. Even more importantly, they have a plan to help you keep your home.In some cases, this "foreclosure specialist" offers to help modify your mortgage and lower your payments. But first, you need to sign a few legal documents. If you do not read everything carefully, or if you allow the con artist to fill in documents after you have signed, you may be signing something that transfers the title of your home to the scammer.

Once you have signed over your deed, scammers may require you to make monthly "lease" payments. Eventually, they will evict you and take possession of your home. In either case, getting your home back after you willingly signed over the deed, even if a scammer misled you, is a very long and difficult process.

Read about more variations of this scam on BBB.org.

How to avoid deed theft

  • Refuse to sign over your deed. Do not let a scammer pressure you to sign over your home in return for repaired credit or avoiding foreclosure. If you sign over your deed to someone else, there is no guarantee you will get it back.

  • Watch out for high-pressure offers. Scammers often use high-pressure tactics to provoke an emotional reaction in their victims. If someone pressures you to act or says you will lose your house if you do not accept their "help," be wary. You are likely dealing with a con artist.

  • Stay alert to false promises. Scammers often pose as foreclosure rescue specialists who can guarantee your home is safe if you accept their services. Keep in mind that a legitimate business will not make promises they may not be able to keep.

  • Get help from trustworthy sources. If you are behind on your mortgage or other bills or have received a pre-foreclosure notice, contact a local housing counseling organization to get help. In the United States, see this list of government-approved housing counseling services (answers.hud.gov/housingcounseling/s/?language=en_US).

For more information – Learn more about a variation on this scam that targets owners of second homes (bit.ly/hometitlefraud). Visit BBB's Home HQ for more tips and advice (www.BBB.org/all/your-home-hq).If you have been the victim of a scam, report it at BBB.org/ScamTracker. Your report can help others avoid falling victim to scams.

For BBB information – Visit BBB.org/canton or call 330-454-9401 to look up a business, file a complaint, write a customer review, read tips, find our events, follow us on social media, and more!

This article originally appeared on The Repository: Straight Talk: Know the signs of property deed theft