A "mortgage broker" offered me $7500, to put a house in my name for 6 month, because the buyers he has, have bad credit, he said they will pay the bill on time for six, months and then he will be able to put the house in their name. I know this is some sort of a scam I just want to know how it really works.
I am not an idiot, and would dare do anything like this, but I know a couple of friends who are considering it.
2006-11-02 08:41:23 · 11 answers · asked by 194p$k 2 in Business & Finance ➔ Renting & Real Estate
They are borrowing against your credit. They finance the house usually a HUD or foreclosed property at full market value (borrow more than the house cost) on your credit and in your name and with in the six month period stop making payments and take off with the money. Your name, your credit, your house, your inflated house payment which is more than you can sell the house for.
2006-11-02 08:45:07 · answer #1 · answered by brett.brown 3 · 5⤊ 0⤋
I'm a mortgage broker and get approached by investors using this method. They're using your credit to obtain a 100% loan on the property. You find an under valued property with a fair market value of 100k, but you can buy this property from the owner at 50k. So the investor uses your credit to get 100% loan on 100k and the investor gives you and the owner some cash and pockets the rest of the 50k. The mortgage broker is defrauding the lender and you're stuck with a property that has zero or even negative equity.
Regards
2006-11-02 11:10:22 · answer #2 · answered by Anonymous · 1⤊ 0⤋
They aren't going to put just the house in your name... they will also put the mortgage in your name.
You would be party to a felony conspiracy to commit loan fraud, if the mortgage is not paid your ability to get credit in the future will be virtually destroyed.
You should really notify the Department of Real Estate in your state and report the fraud.
2006-11-02 14:12:06 · answer #3 · answered by HMMMMMM 3 · 0⤊ 0⤋
sounds like a rip-off to me. First you're paying them to furnish you a catalogue you are able to probable get for loose from people who're foreclosing. then you definitely would be in charge for money that are actually not on your call. that does no longer assure you that somebody provide you a private loan at any time. And in the event that they did, you haven't any longer any assure of what costs you will pay or what remaining costs. you're soliciting for worry. The call and deed can not be placed into your call because of the fact if money is owed on a house, the homestead and land are held as collateral and the be conscious holder's call ought to be on the call in view that provides them the applicable to take the call from you for no longer paying the be conscious. you have reported the be conscious is in somebody else's call and until the foreclosures they own the homestead. Their call can not be removed from the call and yours placed on it on the same time as you pay their own loan. That merely would not make sense to me. checklist those human beings to the extra effective organisation bureau or everywhere else you are able to think of of. in case you do not have self belief me, get a 2nd opinion from a unconnected realtor. Be arranged for him to snicker at you. Or call a community roving reporter and spot in the event that they are going to help you divulge those human beings. . .
2016-12-09 01:27:48 · answer #4 · answered by ? 4 · 0⤊ 0⤋
It is a scam, find out the name of the broker, and then turn him in!
2006-11-02 08:42:28 · answer #5 · answered by Anonymous · 3⤊ 0⤋
I saw something similar to this recently where the scammer mails you a money order that you are supposed to deposit into your bank account, then wire a percentage of the funds to him. The money order is counterfeit. The cash you have wired him is long gone.
2006-11-02 08:55:40 · answer #6 · answered by Kalia 3 · 1⤊ 0⤋
Try searching the Federal Trade Commission website http://www.ftc.gov and I suggest you contact them, also, so that no one else gets scammed.
2006-11-02 08:52:26 · answer #7 · answered by Phoenix, Wise Guru 7 · 2⤊ 0⤋
its simpell you know this ancer allready dont wont to insult you but you ask.
thay put it in your name under good fath that thay will pay.
theas non egsisitent ppl. disapear and you now get to pay the moregig or go bankrupt and he still gets the muny for the house.
dont do it.
2006-11-02 08:47:41 · answer #8 · answered by loboe27 4 · 0⤊ 0⤋
This is called LOAN FRAUD and if you or anyone else does this they can be convicted of a felony. Also, the IRS can come after you for the asset.
2006-11-02 12:43:12 · answer #9 · answered by ValentineP 4 · 0⤊ 0⤋
Scam - it makes no sense!
2006-11-02 08:42:44 · answer #10 · answered by Smilin' Fred 4 · 1⤊ 0⤋