When Kimberly Gravitt — a widow from Gwinnett County — fell behind on her mortgage, she reached out to an organization she believed would function a lifeline: Homesaver 911. Nonetheless, signing up for this firm’s companies wound up setting off a sequence of occasions that has left her with nothing.
Gravitt is now going through eviction — from a home she believes she nonetheless owns — and the stress has been so extreme that she was not too long ago hospitalized in a psychological well being facility, in line with WSB-TV [1].
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“She was balled up in a ball on my sofa going, ‘They only acquired all of my fairness,’” Gravitt’s daughter-in-law, Future Gravitt-Waters, informed reporter Justin Grey. When requested what Gravitt acquired in change for her home, Gravitt-Waters didn’t mince phrases.
“Nothing. No cash. Nothing.”
Gravitt reached out to Homesaver 911 in 2024 in search of assist as she hoped to keep away from foreclosures. As a part of the rescue deal, Gravitt signed over a guaranty deed — a authorized doc transferring possession of Gravitt’s property — to Homesaver 911.
The corporate informed WSB-TV that this switch is supposed to be non permanent and possession is given again to purchasers as soon as the mortgage is paid again. Nonetheless, on this occasion, the deed appears to have been transferred to a different firm referred to as Georgia Enterprise Funding Firm.
This firm then took Gravitt to courtroom in 2024, claiming she agreed to promote her property for $150,000 in 2023 however did not comply with by way of with the deal. A Fulton County decide sided with Georgia Enterprise Funding Firm in a default judgement and dominated she should promote the house to the corporate “upon plaintiff’s cost of the acquisition worth and different monies required by the contract [2].”
Though Grey couldn’t discover any documentation to show the sale or a switch of cash, an legal professional for Georgia Enterprise Funding Firm emailed an announcement to Grey.
“Georgia Enterprise has tendered the cash to Ms. Gravitt many occasions, however she refuses to just accept it. She or her legal professional could acquire the cash at any time,” reads the assertion. However the Gravitts say that isn’t true in any respect.
Sadly, Gravitt’s case isn’t distinctive. The Federal Deposit Insurance coverage Company (FDIC) had beforehand issued a warning about foreclosures scams that usually goal weak older Individuals [3].
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Based on the FDIC, there’s been a latest enhance in firms or people claiming to be “foreclosures rescue companies” or “mortgage consultants.” These opportunistic scammers are likely to prey on householders who’ve fallen behind on their mortgage and may very well be liable to foreclosures.
The rip-off entails a “non permanent” switch of the house deed, which ultimately results in the sufferer dropping management of their property.
In 2024, the Federal Commerce Fee reported 34,304 circumstances involving mortgage or debt aid fraud, which makes it the tenth commonest type of monetary fraud within the nation. Victims of those scams misplaced $82.9 million in combination final yr [4].
In case you’re financially weak and struggling to handle your mortgage, you could be a primary goal for a foreclosures rip-off. To guard your self, the State of California Division of Justice presents some recommendation [5]:
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Control potential pink flags: Keep away from any advisor or company that calls for an upfront charge or pushes transferring authorized documentation just like the deed or title to your house, even when they declare the switch is “non permanent”
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Talk along with your lender first: Attain out on to your financial institution or mortgage supplier to see if they will supply a extra versatile resolution that will help you. Don’t ignore any letters or emails acquired from the financial institution. Responding on time and brazenly speaking along with your lender may very well be your best choice to save lots of your house
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In case you want third-party recommendation, attain out to a housing counselor authorised by the U.S. Division of Housing and City Growth
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[1]. WSB-TV — YouTube. “Girl to be evicted by firm who by no means paid a dime for her home. Right here’s the way it occurred”
[2]. WSB-TV.com. “Girl to be evicted by firm that by no means paid a dime for her home. Right here’s the way it occurred”
[3]. Federal Deposit Insurance coverage Company. “Watch out for Mortgage Rescue Scams”
[4]. Tableau Public. “High 10 Fraud Classes”
[5]. State of California Division of Justice. “Foreclosures Rescue Scams”
This text offers info solely and shouldn’t be construed as recommendation. It’s supplied with out guarantee of any sort.
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