One reason would be a financial difficulty that you are experiencing right now and you have no choice but to opt to sell your house immediately. There is nothing wrong with that, in fact, you are not alone in your dilemma. There are hundreds of people who are looking to sell their property because of a financial crisis. Fast cash is a solution to most. However, you must keep in mind that you live in world with many opportunists and are more than willing to scam you with your own property.
People who are unable to pay their debts are often left with a very much unwanted effect: bad credit ratings. Credit ratings or credit scores are given to individuals and companies based on their overall credit history. A person’s credit score is often the basis on whether or not they will be able to successfully apply for a loan or even something as simple as a credit card. Credit ratings basically inform financial institutions whether or not an individual has maintained a good track record when it comes to paying off loans and debts. So, a low credit score could end up costing you much more than just unpaid debt.
Individuals like you who are looking for a fast sale are the targets because you are more likely to bite their bait of fast cash. There are different forms of fast sale scams that you should watch out for.
1. Do not move out of your house until you receive any monetary exchange that is large enough to help you get through. Of course, the amount should be within the reasonable value of your property. This is because some “buyers” tend to rent out your house after you move out. They will pocket the rent and will not pay up the mortgage and then you will end up with more debts than before.
2.High interest rate loans for your property. There are lending companies who would let you borrow money from them and they would ask for the collateral, which is your house. They will out high interest in your loan and you have to pay them up at a short period of time. This would force you to pay immediately or lose your house to foreclosure. You are going to lose a lot of money from this. This is in addition that would you incur a bad credit rating and you lose your home.
a.You could prevent this by reading thoroughly the loan agreement and if this is something that you do not agree with then, do not sign it at all.
3.There are scammers that work by stripping you off your equity and therefore getting all the rights to your house. The scam works this way: Say you have a particular value for your money, then your equity is half of that amount. You sell your house at an amount close to the equity so you can buy it back when you have enough money. What scammers will do is that they will take out a loan and pay all the liens of your property. Soon you will realize that you are going to pay for a much bigger mortgage and there will come a time, where you have to default.
a.One thing that you can do to prevent this is to never believe too good to be true promises.
b.Do not readily sign to give away your ownership to your house, especially if talks and agreements are not yet final.
Financial institutions can offer you an array of plans that you can sign up for in order to pay off your debt with them but you can also go ahead and do something on your own, especially if you need the money right away. You can choose to sell property quickly in order to pay off your debt and, in turn, maintain a good credit rating.
Mandi Pardley is the sales coordinator at Smart SEO and works to ensure SEO is used efficiently in clients marketing campaigns and she works with clients to devise the appropriate course of action. Smart SEO is based in Lancashire for the past 5 years.
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