Before you sell a house to cash home buyer inquire about their reputation and hire a lawyer to go through the sales and purchase agreement before you sign them. Con home cash buyers exist, and they change their techniques from time to time. Here are tricks that are scamming home cash buyers use.
Do not proceed with the transaction if the buyers insist on paying cash since the buyer can offer you fake money, less money or hire robbers to attack you afterward. You will not know if the money is complete or not because there will be no time to count it at that time. They buyer should use secure payment methods like a bank transfer.
They may lure the homeowners into transferring the deed of the house before they make payments, and this is a common technique that they use named equity skimming. The equity of the homeowner is wiped out after the documents are transferred to the scammers. They will either resell the house or rent it out to make a profit and later acquire a loan on it.
The buyers can claim to be foreigners to create an impression that they have a lot of money hence they will give you a good offer. Most of the scammers who claim to be foreigners insist on email or phone call communication but they never make a physical appearance. They will get your contacts online once your house is listed online. You will not know when and how they will hack your bank account and transfer your money to their bank accounts or shop online.
Think twice when someone offers you the highest offer than all the other buyers. The buyer may want to excite you and rush you to sign the agreement before he or she makes the payment then pay a less the agreed-upon amount of money later.
If they do not have earnest money to bind the contract, do not hold the house for them since they may be brokers of other buyers or they are only window shopping prices. Agree with the buyer to resell the home and refund their earnest money if the buyer does not complete payment of the remaining amount within a week.
Some will meet you a few times to win your trust before they dupe you. The trust that you have in them is what they will take advantage of to alter the contents in the sale and purchase agreement to slightly suit them and hurry you into signing before you and your lawyer analyze the details.