Common Real Estate Frauds and How to Avoid Them

Real estate investment can be rewarding, but it also involves risks if proper checks are not done. Many buyers and sellers fall victim to fraud due to lack of awareness. Below are common real estate frauds and simple ways to avoid them.

1. Fake Property Documents
   Fraudsters may sell property using forged or incomplete documents.
   How to avoid: Always verify title deeds, sale agreements, and approvals through a legal expert.
2. Selling Property Without Clear Title
   Properties with ownership disputes or legal issues are often sold illegally.
   How to avoid: Conduct a thorough title search and ensure the seller has clear ownership.
3. Double Selling of Property
   The same property may be sold to multiple buyers using fake agreements.
   How to avoid: Register the sale deed immediately and check registration records.
4. Fraud by Fake Real Estate Agents
   Unregistered or fake agents may collect money and disappear.
   How to avoid: Deal only with RERA-registered agents and reputed brokers.
5. Project Delays and False Promises
   Builders may promise possession dates that are not realistic.
   How to avoid: Check the builder's past projects and RERA registration details.
6. Advance Payment Scams
   Buyers are asked to pay large advances without proper agreements.
   How to avoid: Never make payments without a written and registered agreement.
7. Encroached or Illegal Properties
   Some properties are built on encroached or unauthorized land.
   How to avoid: Verify land use permissions and local authority approvals.
8. Hidden Charges and False Pricing
   Extra charges may be added after booking the property.
   How to avoid: Ask for a complete cost breakup and include all charges in the agreement.
9. Identity Fraud by Sellers
   Fraudsters may pose as real owners of the property.
   How to avoid: Verify the seller's identity and match it with property records.
10. Non-Registration of Sale Deed
    Unregistered sale deeds have no legal validity.
    How to avoid: Ensure the sale deed is registered at the sub-registrar office.

Conclusion

Being cautious and informed is the best way to avoid real estate frauds. Proper verification, legal checks, and dealing with trusted professionals can help ensure a safe and secure property transaction.