Real Estate Tip: Beware of Professional Swindlers

Real Estate Story

Sometime in the mid-90s, a developer pre-sold their subdivision lots somewhere in Las Pinas. The development was loaned from a bank and the developer could not pay the bank. The property was subsequently abandoned, with cogon grass growing on the property. After about a year of abandonment, a professional swindler took on the role as the developer of the said property.

The professional swindler placed an office in the said area and he fooled many brokers and agents to sell the subdivided lots for a bargain price of about Php1,500 per square meter with a Php10,000 reservation fee. The agents received about Php2,000 commission for every reservation sale they made. Motivated, the agents were armed with brochures, maps, and reservation form and the pre-sold the subdivided lots to many unsuspecting buyers. After about a year of selling, the swindler was found out, but he already left with millions of pesos.

Real Estate Tip

Be wary of a bargain-priced subdivision, the "developer" may be a professional swindler.