Mon, 08/27/2007 - 9:31pm
- Someone tells you to take your house off the market for a period of time, and in exchange, the person will pay you more than the asking price later. This is usually a sign that the person plans on using your home as part of a mortgage fraud scheme in which he obtains a loan for more than the house is worth, pays you a little more than what you were asking, and pockets the excess proceeds.
- A cash back at closing deal in which the person offers you more than the home is worth if you agree to kick back the extra money at closing.
- The buyer is not pre-approved for a mortgage loan. This person can tie up your home, preventing you from considering better offers.
- The person is offering no or very little Earnest Money Deposit. The lower the EMD, the more likely the deal will fall through.
- The prospective buyers make the purchase agreement contingent upon their home selling, and for that to happen, several other transactions must occur first. This is know as the domino effect, and you should avoid it, if possible.