The US Department of Housing and Urban Development knew that a home is one of the most important investment every person has to make and becoming a victim of loan fraud is the last thing that anyone wants to happen to them. Sadly, there have been a number of loan fraud victims and so the US government warns everybody, „Don’t be a victim of Loan Fraud.“ Be a wise home buyer and don’t let this thing happen to you.

Watch Out For

1. lenders who will say your case is hopeless, but suddenly they will act as your knight and shining armor saying they’re your only chance in owning a home or getting a home loan.

2. HUD homes that are priced higher than the other homes in the neighborhood, but looked perfectly not worthy of the price.

3. lenders who will oblige you to sign blank sales contract or loan documents or those with wrong information.

4. lenders advise you that if you have credit or money problems, you can always refinance. There will be some cases that they will ask you to falsify some of your information especially your income to get qualified for a refinance

5. cost and loan terms that often change and are different from what you have agreed to.

Take note that a good lender will allow you to take your time to shop around and compare prices of homes as well as loans. Moreover, HUD homes are priced lower than their actual market value because these homes are actually foreclosed properties taken over by HUD as the result of a deficiency by the home owner on an FHA mortgage.

Be A Smart Buyer

1. Research as much information as you can so you won’t be fooled by predatory lenders and one way of doing it is by attending a home ownership education course offered by some U.S. Department of HUD-approved, non-profit counseling agencies.

2. Talk to a real estate agent to guide you in buying a home or getting a home loan.

3. Shop around for home loan and compare costs. Always take your time.

4. Be honest with your loan application. Make sure it is accurate and complete. Moreover, be honest with your real intention to purchase house.

5. Ask questions especially if you don’t understand. Read everything carefully and don’t sign unless you understand everything. Consult a trusted real estate professional or a skilled real estate law attorney to guide you in the home buying or loan process.

Watch out for HUD fraud red flags when buying HUD homes at Homes for Sale in Boise ID. Likewise, be a smartCrofton Maryland Real Estate buyer by by educating yourself with common signs of mortgage fraud schemes.