Am I Really Working with A Not for Profit Company?

Is the company that is working on your foreclosure really a Not for Profit organization? It’s easy for someone to say they are, but a Not for Profit organization is a designation given by the government with months of certification and compliance required. To check in NY simply visit https://www.dos.ny.gov/corps/bus_entity_search.html and check the company name. You’ll benefit greatly by working with a Not For Profit instead of a company claiming to be one. That sort of deceptiveness is no way to start a relationship and it’s certainly no way to help you in your time of need. Clear the Way Supportive Housing Corp is a Not for Profit 501 ©3 agency, here to help homeowners in their time of need!

Some companies claiming to be not for profit may be telling you lies. Have they told you they can get you a large sum of money for your short sale? Guess what, that is entirely illegal. A homeowner cannot profit from a short sale. They might have told you "an investor will buy it at a low price and pay you extra." Again, this is illegal and can have actual consequences for you. On top of that you will never see the money they are promising. It is however legal for a bank to grant you relocation money and for a true not for profit organization to give you a grant to help you relocate.

People Are Going to Jail for This

And unfortunately, it's not the people orchestrating the events but rather the homeowners. When you do a short sale, one of the documents you sign is a short sale affidavit. This affidavit swears to the bank that you will not receive any funds from the sale of property that they do not approve of, and breaking this is a federal offense, punishable by jail time.

Read More Here: https://www.nolo.com/legal-encyclopedia/short-sale-fraud-three-scams-33440.html And Here: https://nyccriminallawyer.com/fraud-charge/real-estate-fraud/short-sale-fraud/

How Do I Protect Myself?

For starters as we mentioned above, verify the company you are working with. The Business Entity Search will reveal more information than just the entity type. For instance, take a look at the opening date. Be wary of companies opened less than 6 months ago. Make sure all money that is set to be given to you is disclosed on the HUD, and don't take no for an answer. Yes, you can ask the bank for $30k in relocation fees. They will never approve it, but you can ask, and if they did approve it then it would be on the HUD and that would be fine. Don't work with a company that takes fees. These companies rarely do anything to get your short sale done and are more than happy to collect your monthly payments. Real companies that help with foreclosure assistance don't charge a fee, because when the transaction is done and closed the bank will pay that company, NOT YOU.