William's Blog...with a smile!

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Help!!!!!!!!!!!!1

That was the first words from the caller.

Bill, please, we need your help.

I had done a market for these homeowners.

They are allowing me to share this story without using their names.

 

The sellers sold their home, FSBO style and let the buyer write up the contract for deed.

A year passed with not issues and not even a late payment.

The interest rate was above market.

 

Well, the sellers did not read the contract word for word.

Buried in the middle was a clause..."AFTER 12 MONTHS OF NO LATE PAYMENTS THE CONTRACT WILL BE PAID IN FULL!"

 

Yes, one of the oldest scams around.  Very prevalent in the 60'as and 70's.

Well there is nothing I could do for them.

I gave them the phone number of 2 REAL ESTATE atty's.

 

They most likely will be going to court, but they did sign a legal document.

Chances of them winning are slim.  It is a blatant case of fraud, but still a legal document that they signed.

I wish them luck.

 

They didn't save anything by not using my services.

Comment balloon 18 commentsWilliam Feela • April 10 2018 01:25AM

Comments

Wait, what???  Just curious, what was the price of the house?  This is insane!  Im sure that you're commission would have been much less than what they have potentially loss on this deal.  Buyers and sellers alike could learn a lesson here.

Posted by LaShonda Solomon, Serving Cobb, Paulding, Douglas, Bartow Counties (Atlanta Communities Real Estate Brokerage) 6 months ago

Very interesting William Feela , I had never heard of that scam but I will be looking for it now.

Posted by Bob "RealMan" Timm, Bob Timm, Project Coordinator for Tivoli Homes (Tivoli Custom Homes) 6 months ago

Wow, what a sad story. I can understand not everyone needs a real estate agent, but they surely should have had an attorney review the contract.

Posted by Joseph Domino 480-390-6011, Real Estate Made Easy (HomeSmart) 6 months ago

That is terrible and they should have used you, Bill. Some sellers think they don't need an agent. This proves they do.

Posted by Debbie Reynolds, Your Dedicated Clarksville TN Real Estate Agent (Platinum Properties) 6 months ago

And once again, using a professional REALTOR would have saved them LOTS of money.

Posted by Michelle Carr-Crowe Just Call 408-252-8900 Top 1%!, Family Helping Families Buy & Sell Homes 40+ Years (Get Results Team...Just Call (408) 252-8900! . DRE #00901962 . Licensed to Sell since 1985 . Altas Realty) 6 months ago

HI William Feela - I can feel your frustration, not to be able to give more guidance than a couple of real estate attorney's names. I wish them the best. 

Posted by Sheri Sperry - MCNE®, (928) 274-7355 ~ YOUR Solutions REALTOR® (Coldwell Banker Residential Brokerage) 6 months ago

Morning William.

While they may have saved money by not using you, what they did lose is everything.

Posted by James Dray, Exceptional Agents, Outstanding Results (Fathom Realty AR LLC) 6 months ago

Good morning William. Never heard of this scam, but then again...!!! Enjoy your day!

Posted by Wayne Martin, Real Estate Broker - Retired (Wayne M Martin) 6 months ago

Good morning William. Wow........what a story. This is a great example of why you need to read everything and always seek competent advice.

Posted by Sheila Anderson, The Real Estate Whisperer Who Listens 732-715-1133 (Referral Group Incorporated) 6 months ago

Truly a cautionary tale William Feela Never could understand why people get "cheap" about paying an attorney to review legal documents when they deal with what may be their single largest financial asset. There's that expression "buyer beware." But it should also apply to sellers.

Posted by Nina Hollander, Your Charlotte/Ballantyne/Waxhaw/Fort Mill Realtor (Coldwell Banker Residential Brokerage | Charlotte, NC) 6 months ago

I have also seen this a couple of times up in my area. One totally lost out and one was able to get the property vback.

Do not have all the details but it is an awful call to get

Posted by Vern Eaton, Realtor 651-674-7449 6 months ago

Wow William,  we all need to get the word out that this can happen, get a realtor to work with to start with.

 

Posted by Will Hamm, "Where There's a Will, There's a Way!" (Hamm Homes) 6 months ago

Oh, William Feela - how sad. Embedded words in writing and signed by willing and able minded sellers. If the ending changes, please let me know. But I have a feeling an attorney will take the case and charge them for nothing. 

They should have listened to you from the beginning. 

Posted by Patricia Feager, Selling Homes Changing Lives (DFW FINE PROPERTIES) 6 months ago

What a horrible and costly experience for those sellers. I hope everything works out for them.

Posted by JL Boney, III, Columbia, SC Real Estate (Coldwell Banker) 6 months ago

Wow, they have certainly lost it all on that sale William Feela a difficult way to learn an important lesson about contracts and working with professionals.

Posted by Lisa Von Domek, ....Experience Isn't Expensive.... It's Priceless! (Lisa Von Domek Team) 6 months ago

That is a terrible story, but it is unlikely even attorney will help.... So sad.

Posted by Inna Ivchenko, Realtor® • Green • GRI • HAFA • PSC Calabasas CA (Barcode Properties) 6 months ago

Hope they can find a way to qualify for a mortgaeg and there is a happily ever after in this story.

Posted by Sally K. & David L. Hanson, WI Realtors - Luxury - Divorce (EXP Realty 414-525-0563) 6 months ago

You know I get it and my blood boils when I read people scamming other people...on the other hand I always find that people who are cheap are penny wise and pound foolish clear example of a FISBO...Endre

Posted by Endre Barath, Jr., Realtor - Los Angeles Home Sales 310.486.1002 (Berkshire Hathaway HomeServices) 6 months ago

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