Real estate is an extremely flourishing industry in Pakistan since property rates witness exponential growth. Just like every growing business, the real estate industry is prone to attract frauds that are always ready to scam entrants and novice buyers. However, there are certain ways you can avoid property fraud and safeguard your valuable investment from shady deals.
Types of Property Frauds You Can Easily Avoid
You can’t always detect when a fraud is being committed. However, there are things you can monitor closely to avoid landing into situations that could cost you your life savings.
Here’s a list of all the common types of property frauds that you can easily avoid:
- Unreliable Agents
- False Listings
- Fraudulent Property Buyers
- Fake Documentations
- Buying or Renting an Unseen Property
- Falsely Quoted Market Value
Lets take a look at each of these separately.
One of the most common things you need to look out for is an unreliable agent. Property agents can be extremely persuasive and convincing which makes it hard to detect whether the offers are genuine or not.
Make sure that the person you are entrusting your valuables with is someone worth trusting by working with someone who was referred by a friend or family member. If you’re approached by an unknown agent that doesn’t belong to a well-known agency, make sure you personally visit their office and ask for referrals.
Similar to unreliable agents, there are a number of people putting up false listings for properties. You need to be vigilant about what platform you are using for viewing these properties. It’s always best to double-check anything you find online. Whether you call the agency listed, or make a visit to the said properties, it is essential to know where you are investing your hard-earned money.
Fraudulent Property Buyer
Sellers and buyers are equally pulling scams in the real estate markets. One of the property frauds that you need to avoid is encountering a fraudulent property buyer. It is important that you only make deals with people you can physically meet. Make sure to verify important documents such as asking for their CNIC before sealing the deal. You should have enough evidence before handing over any legal documents.
A very common phenomenon to occur in the property market is people often deal with fake documentations. This is extremely common in property fraud cases. Don’t forget to conduct the fake documentation check. Most people aren’t even aware that this is an issue that they need to take care of. In order to refrain from such problems, its best to take advice from a professional legal adviser.
You can verify documents online or take them to your lawyer in order to refrain from being subjected to any kind of property fraud.
Falsely Quoted Market Value
The last thing on our checklist for property scams to avoid is falsely quoted prices. Most agents quote a price higher than the actual market value to deceive the client. In a similar scenario, make sure that you take a look at property listing portals such as Jagahonline.com. Find out better property rates and find an investment opportunity that suits you best.
Buying or Renting an Unseen Property
It might seem like a laid-back idea, but this is one of the biggest reasons why property frauds are conducted with such ease. People often make deals over the phones on the basis of mere pictures, most of the times it turns out that the deals were not genuine. It is essential that you visit the property on your own, or have someone you trust visit it for you before making a deal.
If in case you have already been subjected to an unfortunate scenario, make sure to lodge a complaint with a fraud agent or the land record authority in your own cities.
Now that we have listed down to avoid any kind of property scam, you can easily identify if someone is leading you into the wrong direction.
If you’re thinking of investing in a property or if you have already done it, you should read the best institutions for property insurance. Since we’ve already highlighted how vigilant you need to be when buying or renting a property, you should take into consideration carrying a background check on your landlord or prospective property seller; this will help you lower the risks of fraud.
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