West TN man scammed out of thousands for investment property

JACKSON, Tenn. — The Better Business Bureau is alerting us to a scam that has recently been reported in our area.

Many people have either thought about, or are currently trying to obtain investment properties. It is very important to make sure you are working with the right people.

Toddnetta Trice, with the Better Business Bureau of the Mid-South, lets us know of a scam that happened recently.

A West Tennessee man recently reported to the Mid-South BBB that he was scammed out of thousands for an investment property. The local man reports that he relied on referrals from friends to find a real estate agent to find him an investment property to buy. Once the house was found by the real estate agent, the check was cut and the victim never heard anything back.

“That real estate agent started giving him the runaround and kept saying, ‘I’m going to send this paperwork.’ But he had already cashed the checks, so it was a lot of communication that was starting to slip,” Trice said.

It is always important to do your research — especially when big decisions like these are being made.

“Always research the person that you are dealing with,” Trice said. “Not only by a simple Google search, but also a court record. A lot of people don’t know that all court cases are public record unless it has been sealed by a judge or things of that nature.”

Trice also tells us of some red flags that we can be on the lookout for when we are working with people claiming to help us out.

“If it seems too good to be true, it probably is,” Trice said. “So if you are coming across and agent or someone that is telling you you can get these properties for this amount of price, but you aren’t seeing that online or in that area that you are looking for, you definitely want to kind of do your research.”

If this happens to you, contact the authorities to report the incident. This can help prevent these cases in the future.

“If you have been scammed, I would say immediately go to your local police department and file that police report and see what other options they may have,” said Trice. “But, before you get too far in, definitely give us a call at the BBB.”

In the scam that happened locally, paperwork was never sent over and the loan company had no record of the victim. They also knew nothing of the home he was purchasing.

For local news, click here.