DURBAN North police say in recent years, online fraud has become increasingly prevalent with fraudsters using every trick in the book to fleece money from buyers.
While the cases have mainly been related to pets and other items, fraudsters are also targeting prospective property buyers.
The most recent incident saw a local resident lose out on R188 400 in a fraud case after he paid a deposit for a vacant site in Avoca.
Related article: Man loses out R188 400 over Avoca property scam
Carol Reynolds, principal of Pam Golding North Durban spoke to Northglen News on ways to avoid falling victim to property scams.
“There are ways of minimising the risks of falling victim to real estate fraud by doing your homework. There are differences of course when dealing with an estate agent as opposed to entering a private agreement.
“There is less risk when working with an estate agent as we have the tools to verify whether the person you are dealing with is the legitimate owner of a property or site. You should also always check if you can verify the status of an estate agent or agency you are dealing with all of whom should be registered with the Property Practitioner Regulatory Authority (PPRA),” Reynolds explained.
Also Read: How agents decide on the selling price of your property
She encouraged those looking to purchase a property to involved your own attorney.
“The other red flag to look out for when entering a private sale is if someone suggests they have their own attorney who can draw up a purchase agreement. If you are entering an agreement as a private buyer I would advise involving your own attorney for any drafted agreement.
“You would certainly be more comfortable with your attorney drafting the paperwork then relying on the private seller’s ‘alleged’ attorney. Most importantly, before you pay or deposit any money into an account. Verify details of the people involved. If you are dealing with an agency, ensure that you phone the office landline and check if they exist. The agency or agent must also be able to produce a valid Fidelity Fund Certificate which shows legitimacy,” she said.
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