These unsolicited text messages have inundated the real estate industry in recent years.
RoboKiller says Americans received 12.4 billion spam textsin September 2023.
Thats an average of 19 texts for the month for every person in the country.
Ever wondered about the story behind all the“We Buy Ugly Houses” signs? In short, it’s about cash and convenience.
Many property owners on the other end of these messages are left to wonder if the texts are legit.
The answer to that question varies and largely depends on who sent the text.
Some are legitimate scams.
Some are wholesalers looking to buy a house for cash and resell it.
These text messages are just modern cold calls, Wallace says.
So from the homeowner side, its just about your tolerance for engaging with that jot down of communication.
No Interest Til Almost 2027?
Where Are the Unsolicited Offers to Buy Your House Coming From?
As Wallace indicated, those unsolicited offers are likely coming from three options.
If theyre not telling you a company, I would say thats pretty illegitimate, Wallace says.
Its similar to an email phishing scam but it involves the largest asset you own.
Once such sketchy technique is the white knight scam, also called a foreclosure rescue.
In exchange for the loan, the investor asks the homeowner to temporarily sign over the deed.
That said, while legitimate, a wholesaler isnt necessarily working in your best interest.
They also might hold on to the property and place it into their investment pool of rental housing.
A wholesaler is going to buy at a tremendously discounted rate, Wallace says.
3. iBuyers
iBuying is an automated, online method of selling your home quickly.
If youve seen ads from companies like Opendoor, Redfin or Offerpad, then youve heard about an iBuyer.
Over the last few years, the iBuying industry has exploded.
Their goal is to put the house back on the market for the most part, Wallace says.
For the homeowner, the draw of selling to an iBuyer is simply convenience.
Just know that you may not get the highest price for your home and there may be hidden fees.
Theyll let you stay there for a little while after you sell, says Wallace.
Scammers aside, what do you should probably know before you act on an unsolicited offer to sell?
First, you gotta know that they are selling you one thing: convenience, Wallace says.
These options also might make sense if your property needs a lot of costly repairs.
Depending on your circumstances, these options might work for you, simply for the convenience.
A real estate agent brings specialized expertise and is ethically bound to work in your interest.
Theyre making sure your goals are valued and that your best interest is at hand.
Robert Bruce is a senior writer for The Penny Hoarder.
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