Blog > How To Protect Yourself from Foreclosure Scams

How To Protect Yourself from Foreclosure Scams

by Thomas J. Morillo

Facing foreclosure is stressful enough without the added risk of falling victim to scams. At Thomas J. Morillo and the TJM Home Team, we’re committed to helping our community stay informed and protected. Here’s a guide to some common foreclosure scams and how you can avoid them. Remember, always consult with an attorney before making any decisions. We can connect you with a local foreclosure attorney for a free consultation. Text us at 727-560-4944 for more information.

Common Foreclosure Scams to Watch Out For 🚨

Phantom Help: Scammers promise to negotiate with your lender for a fee but do nothing to help you. They might ask for an upfront payment and then disappear, leaving you in a worse situation.
Fake Government Programs: Scammers may claim to be affiliated with government programs designed to help homeowners in foreclosure. They often use official-sounding names and logos to appear legitimate.
Rent-to-Buy Schemes: You’re tricked into signing over the deed to your home with the promise that you can rent it back and buy it later. The scammer then evicts you and sells the property.
Bait and Switch: You think you’re signing documents to bring your mortgage current, but you’re signing over the deed to your home.
Loan Modification Scams: Scammers promise to get your loan modified for a fee. They might tell you to stop making payments while they negotiate, which can lead to foreclosure.
Equity Skimming: A buyer offers to pay off your mortgage if you transfer the deed. They then rent out the property, collect the rent, and let the property go into foreclosure.

Always Stay Vigilant 🔍

While this list is useful, remember that scammers are constantly coming up with new tactics. Always be cautious and skeptical of any offer that seems too good to be true.

Protect Yourself: Talk to an Attorney First 🛡️

Before making any decisions, it’s crucial to consult with a reputable attorney who specializes in foreclosure. They can provide legal advice specific to your situation and help you understand your rights. For a free local attorney consultation, text us at 727-560-4944. We’re here as a community resource to help.

Steps to Research Any Company or Person Offering Assistance ✅

Verify Credentials: Check licenses, certifications, and professional affiliations of any company or individual offering assistance.
Read Reviews: Look for reviews and testimonials from other homeowners who have worked with them. Consistent positive feedback is a good sign.
Check with the Better Business Bureau (BBB): Visit the BBB website to see if the company has any complaints or negative ratings.
Ask for References: Request references and contact them to inquire about their experience and satisfaction.
Understand Fees: Be clear about any fees involved. Legitimate companies will provide a transparent fee structure.
Consult with an Attorney: Before signing any agreements, have an attorney review the documents to ensure everything is legitimate and in your best interest.

How the TJM Home Team Can Help

At Thomas J. Morillo and the TJM Home Team, we’re committed to providing support and resources for homeowners facing foreclosure. We can connect you with reputable local attorneys for a free consultation and help you navigate the process with confidence.