With today’s Kentucky housing market becoming more active than ever, thanks to a constant flurry of opportunities and financing options, acting fast is key to getting the right outcome.
After hearing about how your friend or acquaintance began making money by flipping homes and doing it well enough to quit their job, there’s no doubt that the idea in question is attractive to you. Now that mortgage interest rates are also lower and houses and homeowners are more amenable to negotiations, time is of the essence if you’re looking to dive headfirst into a flourishing real estate market.
However, there’s just one problem with this market that we believe any investor must know about: the alarming possibility of getting scammed.
The modern market’s vulnerability to scams (and a solution to work on)
By now, we’d all like to believe that homebuyers, sellers, and real estate investors have thrown more caution to the wind than ever to the point where scamming is rarely a possibility. But this couldn’t be any further from the truth.
With scammers becoming more sophisticated, capable, and cunning because of technological advancements, real estate scams have become more proliferated than ever. Unfortunately, the recent “home flipping frenzy” has made matters worse because buyers and sellers alike are now in a type of rush that prevents them from realizing that they can get scammed if they’re not careful.
Well, the solution to preventing yourself from falling for various real estate scams is knowing what scams are afoot and avoiding them at all costs.
Scams to watch out for
Whether you’re buying, selling, investing, or renting out a piece of real estate to rake in your share of profit from the Kentucky real estate market, it’s important to know how you can get duped. Fortunately, we’ve put together this comprehensive guide on the various scams in today’s market so that you can take the right steps moving forward:
The Invisible Listing
So, an apartment, townhouse, or bungalow pops up at an unbelievable price, and you’re itching to whip your cheque out before anyone else realizes how much of a steal it is. Well, here’s the thing: it’s probably a juicy bait that scammers are using to capitalize on buyers and investors that are a bit TOO enthusiastic.
Here’s one rule that experts want everyone to know in the real estate world: if it’s too good to be true, then it definitely is. When you see a great home only via photos and a drive-by up with a great price, the chances are that you’ll get scammed if a “seller” is asking you to wire them some money even before you meet up!
The Far-Off Wire
One of the most common scams that fraudsters are using on unsuspecting investors in the real estate market today is something we’d like to call the Far-Off wire.
After ironing out your impending transaction and receiving the correct details about the title of your property, a seller or agent immediately instructs you to wire the cash to a number at a distant bank. If this is a bank that is too far out of reach, too difficult to contact, or completely uncommon, then you’re likely dealing with a scammer!
While the current state of Kentucky’s real estate market is alluring, thanks to low prices and an abundance of listings, it’s important to be mindful of the potential scams you’ll come across. By keeping this guide in mind, you’ll be able to ensure that you will stay as safe as possible as you capitalize on the opportunities to make money off of an emerging market in the long run!
If you’re hoping to cash in on houses for sale in Owensboro, KY, in the safest way possible, then you must seek assistance from expert realtors in the area, such as The Blake Hayden Group. Get in touch with us today to see how we can help!