Greg's Corner

$1M home offered for $10K in scam

By Greg Collier

A Kansas City couple recently discovered that their luxurious 5,300-square-foot ranch home had been fraudulently listed for sale on Zillow. The scam became evident when friends began inquiring if they were selling their nearly million-dollar home for a mere $10,200.

Despite the home’s actual market value being around $1.2 million, the fraudulent listing presented a too-good-to-be-true offer, claiming it was part of a charitable gesture to help first-time buyers. The listing further attempted to restrict access to real estate professionals, lenders, and attorneys, aiming to scam potential buyers directly.

Unfortunately, this scam is not new. Real estate scammers often list high-value homes for sale online at a fraction of their actual price. They typically claim to own multiple properties and present the low price as a way to assist first-time homebuyers, purportedly for tax benefits. However, these scammers specifically target first-time buyers without representation from a realtor, bank, investor, or attorney. They also request payments through platforms like Venmo or Cash App, adding to the fraudulent nature of the scheme.

In this instance, in Kansas City, the fraudulent listing invited interested buyers to contact a phone number associated with a Las Vegas area code and requested a $200 advance payment through an online banking app, just to take a tour of the home.

This led to scam victims knocking on their door, expecting a home tour. The couple’s attempts to resolve the issue included providing proof of ownership to Zillow, yet responses from the site were slow. After the local newspaper became involved, Zillow removed the listing.

If you’re a first-time homebuyer, remember that a homeowner offering a home at a steep discount for a tax write-off is not a legitimate practice. Anyone making such claims in a real estate listing is likely trying to scam you. Avoid making any payments through platforms like Venmo, Cash App or Zelle, as recovering funds from these platforms is nearly impossible once the payment is made.

To protect yourself from deceptive property listings, verify information with the county’s tax assessment office. This resource will provide you with the necessary details to identify the legitimate homeowner, ensuring a secure and informed home buying process.