Avoid Being Scammed

Don't become a mortgage fraud victim!

By Max Alexander

From Reader's Digest

• Know the area's average home prices. Don't just read the listings. Drive around; look at properties; attend open houses.



• Hire a licensed home inspector. Avoid anyone affiliated with your Realtor or mortgage broker. Go to nahi.org (National Association of Home Inspectors) for leads.



• Compare lenders' mortgage costs. Check with local banks and websites like bankrate.com.



• Review the ownership history. If a home's been bought and sold frequently in the last few years, be suspicious. Even if it hasn't been targeted by scammers, there might be something wrong with it.



• Steer clear of mortgage brokers or Realtors who try to persuade you to fudge your loan application. And be wary of unsolicited contacts and high- pressure sales tactics.

• Don't sign a blank document, or one with blank spaces. If something doesn't apply, it should be marked "N/A."



• Make sure the name on your paperwork matches the name on your ID.



• Don't sign a document until you've read and understood it.



• Never sign away the deed to your property without consulting a lawyer.

From Reader's Digest - July 2006

• Cheated Out of House and Home
• Don't let these scams happen to you!
• 
• How to Spot a Scam
• Tips for exposing scam businesses.
• 
• Don't Be "Had"
• Stay one step ahead of unscrupulous scammers with these 5 simple tips.
• 
• Get Rich? Get Real
• Americans are falling for get-rich-quick pitches.
• 
• Home, Smart Home
• Talking walls, solar roof panels, moveable rooms. Welcome to your dream house.
•