Joe Foster's Blog

Buyers and Renters Beware of Real Estate Advertising on the Internet

It is true, the internet is the way to go in getting the word out to prospective real estate buyers and renters these days. As a Real Estate Agent, I frequently rely on services such as my web site, Realtor.com, Craigslist and other real estate web site advertising services to reach potential clients that are in and out of my local area. Like most people in today’s busy world, I communicate largely though email.

Unfortunately, there is a large array of scams popping up in multiple states that has many consumers feeling gun-shy about answering internet posted advertisements. Although this is not exactly hot-off-the-press-news to most of us, there are always new scams surfacing and a scam involving Craigslist is what has prompted me to post this blog.

The Craigslist scam, in short, involves a thief copying legitimate real estate for sale ads and posting a for rent ad with the thief’s contact reply to address instead of the owner/agent. By doing this, potential renters were contacting the wrong person, sending deposit money, and in some cases, rental applications with their income information and social security numbers.

I would like to offer a few tips that will (hopefully) help to protect my clients, colleagues, friends and family from internet real estate fraud.

First, if it’s too good to be true, it probably is. Question the value. Question the sellers need to sell or rent quickly. Question everything. If the seller gets annoyed or seems bothered by your inquiries, move on.

Second, do your research. Playing dumb doesn’t work and is never a good excuse. If you don’t know how to research on the internet, find someone (a friend, relative, co-worker, neighbor) to help you. There are numerous resources available on the internet, some of which I will include at the bottom of this post. If dealing with real estate, be sure to look up the agency, agent, property, location, etc. to make sure they are legitimate.

Third, trust your instincts. Remember that little voice that your Mom always told you to pay attention to? Listen to it. It may not always say what you want to hear, but it almost always will issue a warning when you’re heading in the wrong direction.

Forth, be protective of your money. You worked hard for it, so don’t just hand money to someone because you’re on the receiving end of a high-pressure sales pitch. Be extremely cautious when any seller insists on only being able to accept cash, money orders, or wire transfers. Any legitimate business transaction should be able to be handled through a variety of financial means. Use your discretion and yield to your comfort zone when handing over your money to anyone.

Finally, be resourceful. Shop around for the best price (while keeping all previous tips in mind). When shopping on the internet, stick to legitimate, reputable web sites. Always keep in mind that just because something is listed on a reputable site, doesn’t necessarily mean that it’s legit. Modern days thieves are extremely innovative and use, or have used, the top ranked web sites on the web. If available, check a users profile and/or feedback rating. Negative responses and ratings should serve as a red flag.

One rule that I generally use in my internet advertisements is to include my direct contact information including name, business, name, email, phone number and/or web site. For real estate advertising, I strive to make myself as available as possible to my clients and avoid using “reply to” email addresses that are automatically assigned. However, there are legitimate ads and sellers out there that do not provide any personal information and with good reason. It’s up to you to use your discretion when answering any online advertisement.

If you would like additional information about internet crimes, please visit the following web sites:

Federal Trade Commission www.ftc.gov

Internet Crime Complain Center www.ic3.gov

National Fraud Information Center www.fraud.org

Better Business Bureau www.bbb.org