One of the biggest problems homeowners have while trying to resolve a foreclosure with their lender, is the dreaded door knockers! It can be a real hassle, and very annoying. We have also seen it become a criminal or financial problem for homeowners in Southern California because of their scams.
When you are going through this process you generally may see 3 types of door knockers:
• The “scam artist or criminal” is the most damaging type for a homeowner. They will either scam you out of money or damage your title so you will eventually be unable to receive assistance. Stay away from anyone who says they can stop a foreclosure by using “title” or your “deed”. Clouded Title or Fraudulent Deed scams are very serious—please report them immediately to us. Also, anyone asking for upfront fees is breaking CA State and Federal Law.
• The second is the “sales rep”. They generally work for Attorneys, and not the good ones. Attorneys that use door knockers to get clients are generally not ethical. The main objective is to have you stop communicating with the bank. They will bill you for a bankruptcy that will not solve your problem, or file a frivolous lawsuit that receives no settlement. The end result for homeowners is they end up much further behind on the mortgage, and with a much larger mortgage balance. Over the past 10 years, this is the most common fraud we see committed against homeowners.
• Last one the list is the “Real Estate Agent”. Again, generally not the best agents in town. They base their careers on reality TV shows like Flip or Flop, and House Hunters. These agents know absolutely nothing about the details of your mortgage, or what you’re currently doing to avoid foreclosure. They only know you may be in Pre-Foreclosure or have a Sale Date. Their goal is to low-ball you and try and sell or buy your home cheap. They also may say they work for your lender—they don’t; it’s a lie. They can be persistent, so if this a problem, please report it to us.
Just remember with foreclosure prevention, real help is always free. Also, never trust a door knocker!