Recently a person pretending to be a rental applicant tried to run a scam on a property we manage. They hoped to scam the landlord and Nesbitt Realty. With increasing reports of real estate scams worldwide, here are some ways you too can avoid being caught up in fraud.
Make sure all parties are who they say they are. Have an out-of-state party provide a photocopy of their driver’s license or passport that has been notarized. If someone alleges to represent an embassy or a large corporation, afford them no less due diligence that you would any other renter or buyer.
Will Nesbitt is the principal broker of Nesbitt Realty.
Verify signatures. Compare the signature on the real estate contract to other signatures on their driver’s license, passport, the original sales contract, etc.
Double-check the documentation. Make sure none of the documents have been altered. Inspect originals whenever possible. Get certified copies from a title company.
You select the professionals. Require the out-of-town party to use a real estate professional, attorney, or title company of your choosing.
Require a face-to-face meeting. The safest way to ensure that they are who they say they are is to require that they show up at closing.
Rely on the professionals. If it all possible, don't do it yourself. Let a brokerage like Nesbitt Realty handle all the details.
If you've never used a property manager before, you'll probably want to learn as much as possible about the process and what exactly property managers do. In the broadest sense, here's what all property managers do (or promise to do):
Collect the rents. Put the rents into an escrow account. Disburse funds to pay bills, income to the landlord and fees to the property management company.
Keep a record of all money and receipts and furnish that record on a regular basis to the landlord.
Deal with HOA/COA.
Manage tenant relations including maintenance requests, late fee notices. Deal with a laundry list of tenant problems: unauthorized guests, unauthorized pets, parking issues, tenant cleanliness, noise violations, neighbor complaints, etc. If necessary we manage the process of prosecuting actions to evict Tenants.
Ensure compliance with state laws, local ordinances, licensing requirements, association rules, Fair Housing laws, insurance requirements, IRS requirements.
Manage and dispatch handymen as needed.
Inspect the property at the time of move-in at the time of move-out and from time-to-time during tenancy.
Money in general does not flow from the landlord to the property manager. Money flows from the tenant to the property manager to the landlord. Fees and commissions are withheld from collected rents.
Our standard agreement is a one year term, but either party can terminate the arrangement with 30 days notice.
The next step is to learn a little more about what differentiates us from other property managers.
[Learn more about our property management services now.]
Why not use a small, local company that cares about your needs to find real estate?
For more information or to set up an appointment call Nesbitt Realty at (703)765-0300.
