Advice
Some typical signs of a tricky real estate deal
28/11/2018 17:51 | Source: Realestate.au
Lots of home buyers can be taken for a ride without even knowing and it often costs them a lot of money. Here are some handy tips to show you how to detect warning signs of a tricky deal.

Some typical signs of a tricky real estate deal 1

1. Rental guarantee

On the whole, a rental guarantee is attractive to property investors. Sellers or agents may tell you that your new property will be snapped up in the rental market, then you are attracted by the secure ongoing rental income. However, there is no free lunch! Beware of some hidden costs that you will have to pay in return for the rental guarantee. Don’t forget that no rental guarantee can ever make up for the poor investment return you will be getting from a subordinate property.

2. Guaranteed growth

Whatever your property sellers or agents tell you, there is a fact that no one can guarantee your turnover you will get from the investments. You should rethink the deal if someone tries to tell you that he can do it. If that were the truth, the seller or property agent wouldn’t be pushing to get a sale to you.

3. Scare tactics

One of the most popular sales tactics of property sellers or agents is is using time as a way to pressure buyers, so always be wary of anyone attempting this trick. Their common slogans include: “Only five units left!” or “Buy now or you’ll miss out!” Your fear of missing out may urge you to act fast without careful checks. You don’t have enough time to think carefully before signing contracts, then you quickly lose your money. In fact, there are many good deals waiting for you. Therefore, whenever you find yourself being pressured to sign something inconsequential,  it’s time to leave and find another deal.

Unfortunately,fraudsters have become proficient at identifying people who are not sufficiently educated and informed about the real estate market. Therefore, knowledge and information are your best weapon to beat them. Always do your research carefully before opening your pocket to avoid dodgy property transactions.