Avoid Scams When Selling an Inherited Property

living room of an inherited home

Inheriting a property is often accompanied by complex emotions, a mix of nostalgia, and unexpected financial responsibilities. Deciding to sell the house, especially for cash, might seem like the best option to quickly resolve the situation and reduce stress. But as straightforward as a cash sale sounds, there are risks involved, especially when unscrupulous buyers are looking to take advantage of overwhelmed sellers. It’s crucial to know how to avoid scams and work with reputable cash buyers who have your best interests at heart.

In this guide, we’ll cover common scams to watch out for, how to identify trustworthy cash buyers, and a real-world story of how Olson Home Buyers stepped in to help a family avoid falling victim to a dishonest buyer. By understanding these red flags, you can sell your inherited property with confidence and peace of mind.


Understanding the Risks: Why Inherited Property Sellers Are Vulnerable

When you’re dealing with the emotions of losing a loved one and the complexities of managing their estate, it’s easy to feel overwhelmed. Unfortunately, this makes inheritors prime targets for real estate scammers. Here’s why selling an inherited property for cash can be risky:

  1. Emotional Vulnerability: Scammers know that inheritors are often eager to settle the estate quickly, and they may exploit this sense of urgency to push through unfair deals.
  2. Lack of Experience: Many people who inherit properties have never sold a house before, making it easier for unethical buyers to mislead them about the property’s value or the terms of the sale.
  3. Time and Financial Pressures: Inherited properties often come with debts, maintenance costs, and property taxes. The need to address these issues quickly can lead sellers to rush into deals without doing proper due diligence.

The Harris Family’s Story: A Close Call

After inheriting their aunt’s small two-flat in Chicago’s Logan Square neighborhood, the Harris siblings—Amy and Tom—felt overwhelmed by the property’s condition. The roof needed repairs, the plumbing was outdated, and there were years’ worth of belongings cluttering every room. Living out of state, neither sibling could take on the responsibility of fixing up the house, let alone managing it as a rental.

They decided to sell the house for cash. Not long after listing it, a buyer reached out with a promise to close quickly. He seemed knowledgeable and offered what seemed like a reasonable price for the house “as-is.” Feeling relieved, Amy and Tom agreed to meet and sign a preliminary contract.

But something didn’t sit right. The buyer was insistent that they didn’t need a lawyer. On a hunch, Tom contacted Olson Home Buyers for a second opinion. It didn’t take long for our team to spot the warning signs: the contract had vague language that could have locked the siblings into a sale that might not ever close. Worse yet, the buyer was planning to add on hidden fees that would have drastically reduced their final payout.

The Harris family decided to step back and re-evaluate their options. They chose to work with Olson Home Buyers instead, where they received a transparent cash offer that accounted for the true condition and value of the property. The deal closed quickly, without surprises, and Amy and Tom were able to settle the estate without additional stress.


Common Scams to Watch Out For

Understanding how these scams work is the first step in protecting yourself when selling an inherited property for cash. Here are some of the most common tactics used by unethical buyers:

1. Fast Offers and High-Pressure Tactics

Scammers often prey on people’s sense of urgency and desperation. They’ll make an offer and insist that you need to act quickly to close the deal. They may use scare tactics like, “If you don’t accept this offer, you’ll be stuck with a property that nobody wants.”

What to Watch For:

  • Buyers who push you to sign contracts without giving you time to think or seek advice.

How Olson Home Buyers Can Help:
At Olson Home Buyers, we encourage sellers to take their time and consider all their options. We provide a fair and transparent offer based on the current market and condition of the property, and we’re always willing to explain our offer in detail so you feel comfortable with your decision.

2. “We’ll Handle the Legal Work” Scam

Some buyers will tell you not to worry about hiring your own lawyer, claiming they’ll handle all the legal paperwork for you. While it might sound convenient, it’s a major red flag. Scammers often use this tactic to sneak hidden clauses or fees into the contract or manipulate the paperwork to their advantage. We've even seen unscrupulous buyers get sellers' power of attorney in an effort to steal property!

What to Watch For:

  • Buyers who discourage you from seeking legal advice.
  • Offers that seem too good to be true, with buyers willing to pay you upfront.

How Olson Home Buyers Can Help:
We always recommend that sellers seek their own legal counsel, and we work transparently with reputable title companies to ensure every step of the transaction is above board. Our goal is for you to feel supported and secure throughout the process.

3. Fake Proof of Funds

Some scammers will present you with falsified bank statements or letters claiming they have the funds ready for a cash purchase. When it comes time to close, they’ll either disappear or delay the process endlessly, hoping to renegotiate at a lower price.

What to Watch For:

  • Proof of funds that seem altered or inconsistent.
  • Buyers who become evasive when asked for more details about their financial situation.

How Olson Home Buyers Can Help:
We always provide legitimate, verifiable proof of funds and are happy to answer any questions you have about our financial capacity to purchase your property. Trust and transparency are at the core of what we do.

4. Bait and Switch Contracts

This scam involves presenting one contract for you to sign initially and then switching it out with a different contract later in the process. The new contract might include unfavorable terms, such as a drastically reduced price or additional fees that you hadn’t agreed to.

What to Watch For:

  • Buyers who “update” contracts without clear explanations or justifications.
  • Language in the contract that is overly complex or difficult to understand.

How Olson Home Buyers Can Help:
We review every contract with our sellers and ensure that all terms are clear and agreed upon from the start. There’s no fine print or hidden surprises—just straightforward agreements that reflect the value of your property. If we do update a contract, such as through an addendum, you'll know in advance.


How to Choose a Reputable Cash Buyer

Selling an inherited property for cash doesn’t have to be a stressful or risky experience. Here are a few tips to help you choose a reputable buyer:

  1. Research the Buyer’s Reputation Look up reviews and testimonials from other sellers. Reputable buyers will have a track record of positive experiences and transparent deals. You can also check for ratings on platforms like the Better Business Bureau.
  2. Ask for References A trustworthy buyer should be willing to provide references from past sellers. If they’re hesitant or can’t produce references, that’s a red flag.
  3. Get Multiple Offers Don’t rush into accepting the first offer you receive. Getting multiple offers helps you understand the property’s value and ensures you’re not being lowballed.
  4. Work with a Real Estate Attorney Having a real estate attorney review contracts can protect you from potential pitfalls. Even if you feel pressured to move quickly, a lawyer’s advice can save you from costly mistakes. We know several reputable and affordable attorneys that can help you.

Olson Home Buyers: A Trusted Partner in Your Sale

At Olson Home Buyers, we understand that selling an inherited property is often more than just a transaction—it’s about finding closure and moving forward. We’ve helped countless families in and around the Chicago area sell their properties for cash in a way that’s fair, transparent, and supportive.

Helping the Green Family Start Fresh

When Mrs. Green passed away, her children, John and Karen, inherited her home in Arlington Heights. John lived in Texas, and Karen was caring for her own family in Indiana. They were overwhelmed with the thought of managing the property from a distance, especially since the home needed costly repairs.

After an unsuccessful experience with an untrustworthy buyer who tried to lock them into an unfair contract, John and Karen were hesitant to trust anyone else. A friend referred them to Olson Home Buyers, and from the very first conversation, we focused on building trust. We provided them with a fair offer, clearly explained each step of the process, and kept them informed every step of the way.

The sale closed within three weeks, and John and Karen were able to divide the proceeds without any stress or hassle. They both expressed relief and gratitude for our transparency and support.


Final Thoughts: Selling With Confidence

Selling an inherited property for cash doesn’t have to be a risky endeavor. By being aware of common scams and working with a reputable buyer like Olson Home Buyers, you can protect yourself and achieve a fair sale. Remember, it’s okay to take your time, ask questions, and seek advice—doing so ensures you’re making the best decision for yourself and your family.

If you’re ready to sell your inherited property or have questions about the process, reach out to Olson Home Buyers today. We’re here to guide you through a fast, fair, and stress-free sale, so you can move forward with peace of mind.

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