John Karadsheh
We first published this article a year ago, but have heard that several more property scams were attempted over the past few months in Las Sendas. We are republishing this article to try and generate more awareness and we encourage you to share this information with friends and neighbors – especially those living out of state who may not be aware.
Over the past few years, property fraud has increased dramatically both nationally and right here in our community. The most common scam now is deed theft.
How does it work? Scammers impersonate the legal owner of the property, list the property, sell the property, and pocket the proceeds – all without the true owner’s knowledge. Some scammers fraudulently list the properties with real estate agents (tricking them into believing they are the rightful owners) while others just list the property “by owner” on a national website.
When these scams are successful, ownership is legally transferred to the buyer. The loss of the asset can be financially devastating and trying to regain ownership is a long and challenging legal process.
The fraudulent sellers typically present themselves as out-of-state owners and usually only communicate via What’s App, email, or text. They use fake emails and signature blocks to perpetuate their scams and often use an out-of-state power of attorney to forge identity documents and deeds.
Scammers are targeting land, vacant properties, properties owned in LLCs, out-of-state homeowners or those with recently deceased owners, investment properties, and homes that are owned free and clear. They like to prey on properties that have absentee owners so their schemes can go undetected.
PROTECTING YOUR PROPERTY
If you own property here or out of state, set a Google Alert for your property address or regularly Google your address. Search your property on Zillow and on other third-party sites to see if it is listed for sale. Visit your property or ask a neighbor to ensure there isn’t any unusual activity on the property. You can also check the county recorder and treasurer’s office to confirm you are still the owner on record.
SUGGESTIONS FOR BUYERS
If you are a buyer who is interested in purchasing property here or elsewhere, be aware of these red flags: the “Seller” won’t provide detailed property information, the price is too good to be true, or the seller is in a hurry to close. Also, be sure to have your own professional real estate representation.
Just because a property is “for sale by owner” does not mean you can’t have a Realtor representing you. Let your Realtor speak with the seller (experienced agents have spidey senses!), hire a reputable title company, choose a very experienced title agent, and last but not least, buy title insurance.
One of the title companies we work with has told us they have stopped several fraudulent sales in the past few months, so be sure to have people you trust on your team! Again, please share this information with your friends and neighbors so we can all protect our community and don’t hesitate to reach out with any questions!
John is the Designated Broker of KOR Properties and has been a Multi-Million Dollar producing agent for over 21 years. He is an Accredited Buyers Representative (ABR) and Certified Residential Specialist (CRS), and serves on the Arizona Regional MLS (ARMLS) Rules & Policies Committee, ARMLS Appeals Committee, and the West and Southeast Realtors of the Valley Professional Standards Committee.
Natascha is a Multi-Million Dollar Producer and Accredited Buyers Representative (ABR). She is the Founder of Mesa Food Truck Fridays, a Member and Past-Chair of the City of Mesa Economic Development Advisory Board, and on the Board of Directors of the Greater Phoenix Economic Council.