Avoid Property Fraud, Pay Attention to These Things!

Buying property is a crucial decision and can pose significant risks if not done carefully.

Therefore, it is essential to conduct thorough research and take a safe path when purchasing property to avoid falling victim to property fraud.

Property fraud cases are situations where someone deceives others using real estate as the subject of the fraud.

There are several types of property fraud, such as selling fake properties, forging legal documents, down payment fraud, and more.

Selling fake properties occurs when someone sells a property they do not actually own or sells a property that does not exist.

Falsifying legal documents occurs when someone forges legal documents such as land certificates, building permits (IMB), or other documents to sell illegitimate properties.

Down payment fraud occurs when someone takes a down payment from prospective buyers without providing the promised property.

Property investment fraud typically happens when someone invites others to invest in a nonexistent or illegitimate property project.

Property transaction fraud occurs when someone sells a property they do not own or sells an illegitimate property using the name of the real owner.

Avoid Property Fraud

There are several things that can be done to avoid property fraud, here are some of them:

• Conducting thorough research: Investigating the property to be purchased, such as checking its legality, assessing its physical condition, and verifying with relevant authorities such as the Land Office or Tax Service Office.
• Seeking recommendations from trusted sources: Asking for recommendations from trusted parties, such as friends, family, or experienced property experts.
• Checking legal documents: Verifying property legal documents such as land certificates, building permits (IMB), and other documents, ensuring their validity and authenticity.
• Seeking legal assistance: Enlisting the help of an experienced property lawyer to review documents and conduct necessary legal inspections.
• Avoiding haste in the transaction process: Avoiding haste in the transaction process, resisting the temptation of overly cheap offers, and always being cautious and deliberate.
• Verifying the developer: Verifying the developer responsible for constructing the property, checking their legality and reputation, and not hesitating to ask for references from previous customers.

Make Sure The Developers Are Trustworthy

To ensure that a property developer is trustworthy, it is important to conduct sufficient research.

To verify the trustworthiness of a property developer, there are several things you can do:

• Conduct research about the developer. Look for information about projects previously undertaken by the developer and whether they were completed well and on time.
• Check the developer’s license and legality; ensure that the developer holds a valid license in compliance with applicable regulations.
• Seek information about the developer’s reputation. Read reviews and testimonials from previous clients to determine whether the developer has a good reputation in the property community.
• Request references from the developer; ask the developer to provide references from previous clients or from banks and other financial institutions that have worked with the developer.
• Check with relevant authorities such as BAPPEBTI, OJK, and others.
• Meet with the developer and conduct an interview to provide an opportunity to meet the developer personally and learn more about their vision, mission, and future project plans.