Successful property investment requires keeping your wits about you and paying attention to those all important details. Unfortunately property fraud is on the rise in the United Kingdom so read every word of this post to make sure that you have the knowledge that you require so you don’t get scammed.
The best way to do this is to understand the tactics employed by property scammers so that you can avoid them. Also you need to be aware of the different types of property fraud, know when you are most vulnerable and the best way to deal with this situation.
These Types of Property Fraud are the Most Common
The first type of property scam you need to be aware of is the “investment scam”. These are get rich quick schemes that have no substance to them. One popular investment scam is where promised properties will never be built because there are restrictions on the land that you are not aware of and are never disclosed.
If you are in the buy to let property investment market then be aware of property scams in this area too. There are scam investment opportunities for buy to let properties that are either uninhabitable or totally derelict.
A scam that you will certainly be aware of is identity theft. Scammers want to steal your identity so that they can sell or mortgage property that you own. This happens all too often and often there is no way back from such a fraud.
The final common property scam is the interception of funds. Here the scammers will find properties that are for sale, and then pretend that they are conveyancers or solicitors in order to fool the buyers into transferring their money into their bogus accounts. The hacking of buyers accounts to misdirect funds is also a common practice.
Avoiding Property Fraud
You must ensure that you have good online security to prevent identity theft. For your online accounts be sure to use strong passwords and avoid using the same password for multiple accounts. Remember to change online passwords regularly as well.
People can steal your identity from physical documentation so you need to be vigilant here too. Don’t just throw away personal documentation. Shred it thoroughly first so that it cannot be pieced together.
If you receive any correspondence that promises you fantastic property investment deals then be very sceptical about these. You can check for genuine opportunities by contacting the Council for Licensed Conveyancers and the Law Society. Spend some time online checking out this “opportunity” to see how credible it is.
When you acquire a property you could certainly be at risk from scammers. If you are planning to leave the country for a while then you can set up alerts for your property via the Land Registry. As a minimum you should tell your bank what your plans are.
To further protect yourself apply for a restriction on your property title. With this in place there can be no mortgage applications and no selling of your property unless your solicitor or conveyancer certifies that the request has emanated from you.
It’s Easier with “Hands Free” Property Investment
When you team up with experienced property investors like us at CPI you do not have to worry about property scams or very little else. You can let us do all of the hard work while you enjoy your returns. Contact us today for a no obligation chat to find out the benefits of our hands off property investment partnerships.