Follow these tips to be the biggest winner when selling your house ~ As-is
Scam artists are becoming savvier when it comes to defrauding honest sellers out of their hard-earned money. Some of their strategies are obvious, but others are more subtle and difficult to detect. Most do it from a distance, so that they aren’t anywhere near the fallout when it occurs. Learn their tactics to ensure you sell your home to an honest and reputable buyer.
A situation that throws down a red flag is when a buyer doesn’t need to see the property. That doesn’t necessarily mean the buyer is a scam artist, but it’s a good up-front indicator. Proceed cautiously when a buyer passes on viewing the property.
Is your buyer approved?
A legitimate buyer should provide evidence that he/she is able to purchase your home and has enough cash in the bank to prove it. This is similar to when you initially bought the house and were asked to provide a pre-approval letter from a mortgage company or bank. Always ask to see a “proof of funds” in the form of a bank statement or line of credit. Simply put ~ ask the buyer for a proof of funds.
The Assignment Clause – What You Must Look For in The Contract
Try to determine if the company making the offer actually plans on buying or whether they plan on assigning the contract; the latter are called "wholesalers." There's nothing wrong with wholesalers at all, but for the transaction to work, the wholesaler then has to find someone else to buy your house. You often can identify wholesalers by looking for language in the purchase offer stating that the purchaser is "XYZ and/or assigns. Simply Put ~ ask the buyer if he/she is a “wholesaler” or a direct buyer.
One way to help tell if a buyer is legitimate is to ask them about past transactions and ask them for references which you can check. You wouldn’t hire a real estate agent without a reference or referral so this should be no different. Be on the look out for those posting yellow signs on the side of the road or sending you yellow postcards with the term "URGENT."