Fake Investor in the area posing to purchase 75 homes?

Status: Open
Oct 15, 2017 Views1,295 Answer a Question

To my fellow Houston area Texas Realtors::My coworker has a cash offer for one of her listings, and the buyers agent client is an investor looking to buy 75 houses in the Houston area.Has anyone heard of this potential buyer? If so, any knowledge on whether or not the investors are scamming sellers etc?

About 6 years ago
Dear Suzanne,

Be cautious on the provided proof of funds. Check the names in the submitted offer. Increasing option fee as well as earnest money might as well help. And of course price your listing right, so you do not have to deal with the wholesaler or assignees etc.

Regards,

Cagdas Acar
Msc PSA Realtor@
Website: www.cagdasacar.kw.com
Email: acarster@gmail.com
Phone 832-283-1091
About 6 years ago
most likely wholesalers
About 6 years ago
Always follow your common Sense,
Anything that seems to good to be true probably is.
When collecting offers for your sellers make sure the offers are complete and include proof of funds. also call the numbers on the proof of funds or prequalification to make sure they are real.

Dominik Szabo
Brockway Realty
(832) 844 1724
DominikRealtor.com
The Doctor of Real Estate in Houston Texas
" Professional, Courteous, and Informed "


About 6 years ago
Cash offer should contain proof of funds. Cash contracts can close in a matter of days. Accept only a quick close. Make the Earnest Money 2%. What could be the reason for scamming? There are going to be a many investors trying to buy homes at discounted prices.
About 6 years ago
Asked for their lender approval letter or copies of cash in bank. They like all investors say these comments and their finances often can never back it up. They often are putting out several offers at once and happy if one sticks. Watch the tear down investors too - if they are tearing down a property - do not give them an option period - why would they need it - to use as a re-nego tool. Wasting sellers time often. If they are a real investor and using you as a buyers agent - demand transparency. If not - are they really a true investor - your time spent on non-executed transactions - a waste of your time. And yes there might be some investors that have the capital for 75 properties - often foreign banks or entities - just a several more hurdles to close. Investors appear heavily when the market is in favor of sellers and not many buyers buying. Like after a huge storm that has brought the real estate business to a crawl for a bit. Alas remind them - its not and never will be a "give-a-way!" Good luck and if its not a win-win - whose the loser then... you?
About 6 years ago
No I have not heard of anything like this. I know with Harvey many "investors" are looking for opportunity in Houston so proceed with caution and verify proof of funds before you present offers to your seller so that you can tell them if it looks like a solid offer or not.
About 6 years ago
Deal Seekers real or not are coming in from all over. Many attempting to cash in from the loss of others. I don't pay much attention to them as most are a waste of time. Caution owners and other agents to vett these "investors." Be careful if you represent as those who suffered a loss may very well have recourse, especially if any gouging or attempts to take advantage of them occurs. As an agent you may be held somewhat responsible.

About 6 years ago
I have not been contacted, but not surprising if someone is going around looking for deals. As with any Seller, your job is to qualify potential Buyers, investors or 1st-time Buyers. If they are real, they should be able to provide bank statements and present offers on our forms...not some offer letter you might see in commercial situations.

Advise your clients that have been hit by Harvey on the "what ifs" as these investors might come to the door or send them a letter. Hopefully, they understand NOT to sign anything or provide any personal information without you reviewing everything regarding a purchase contract.

Mark McNitt
832-567-4357
MarkKnowsHouston.com
Bernstein Realty
About 6 years ago
Please forward the information (name, number, etc.) to both the State and County Attorney General offices.
About 6 years ago
Can you provide more details such as name of the investor or investment company?
Disclaimer: Answers provided are just opinions and should not be accepted as advice.
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