Monday, July 02, 2007

Rent-To-Own, Lease-Purchase Offers Gaining In Popularity (Uh Oh, Here We Go Again!)

The Detroit Free Press reports:
  • "Michigan's sour housing market is pushing more sellers to slap rent-to-own signs in their front yards to lure buyers. At the same time, more purchasers are opting to get into homes using this nontraditional method, some real estate agents say. [...] Agents say the surge in rent-to-own deals in the region can be attributed to the increase in foreclosures, bad credit resulting from job cuts, homes sitting on the market too long and people not having enough money for a down payment."

The article gives a brief explanation of what the elements of a rent-to-own contract are. For more, see Rent-to-own gains appeal in slow market (Nontraditional option can benefit both sellers and buyers).

Editorial Note

What the article doesn't emphasize is that, as "rent-to-own offers" gain in popularity, so will "rent-to-own scams." One common scam is using a "rent-to-own offer" as bait to lure an unwitting tenant/prospective purchaser into an equity skimming / rent skimming scam. In such a scam, the property owner (either a "professional" equity skimmer, a participant in a straw buyer, mortgage fraud scam, or an honest real estate investor or homeowner who simply got in over his/her head) is either in, or about to go into, foreclosure and is trying to squeeze every last dollar out of the house as possible before unloading the home on the mortgage lender, leaving both the lender and the "rent-to-own" victim holding the bag.

Homeowners can unwittingly find themselves with problems as well if they are not careful both (1) with the paperwork that is signed when doing one of these deals, and (2) in who they select as their prospective tenant/homebuyer. For example, if a rent-to-own offer is structured as purchase contract with a "deferred or delayed" title closing (say 1 to 3 years, for example), whereby the rent-to-own purchaser gets immediate possession of the home and agrees to make monthly payments to the selling homeowner until the deal ultimately closes and the "legal title" is actually transferred, the law in some states (I suspect many states) treats the arrangement as a transfer of "equitable title", and the unwitting selling homeowner is treated, not as a landlord, but as a lender holding a "seller financed" mortgage with a "balloon payment" due on the date set for closing in the contract. In such a situation, if the rent-to-own purchaser decides to stiff the selling homeowner on the agreed upon monthly payments, the selling homeowner will not be legally able to evict the rent-to-own purchaser. The selling homeowner's only recourse would be to initiate a foreclosure action (the same way any mortgage lender would) to regain possession and legally wipe out the rent-to-own purchaser's "equitable title."

In the meantime, the rent-to-own purchaser has use of the home until foreclosed upon, during which time he can use the home to live in, or find an unwitting tenant and pocket the rent money. For the selling homeowner's sake, just hope the rent-to-own purchaser doesn't use the home as a marijauna grow house. In that case, the rent-to-own purchaser may actually pay the monthly payments for part of the time, and when the home can no longer be effectively used as an indoor pot farm because of the mold contamination in the home common to these illicit operations, the rent-to-own purchaser can simply stop making the payments and let the selling homeowner take the house back, mold and all (with the possibility of having to explain his/her negligence to the mortgage holder as to why the loan collateral was allowed to be destroyed).

In my view, entering into a rent-to-own arrangement is much more complicated than getting a mortgage. It should go without saying that to thoroughly perform all the necessary due diligence that such a deal requires (ie. review recent sales history for the property for evidence of flipping, title search to determine who actually has title to the property and that it is not currently in foreclosure - look for recorded lis pendens, notice of default, etc., prepare the terms of the deal which are unique to lease-purchase, rent-to-own transactions) will probably require the assistance of an experienced, competent real estate attorney (not one whose law practice consists primarily of "doing simple house closings" or "selling title insurance" in the capacity of a title insurance agent - common for attorneys in some regions). The paradox here is that the consumers who are the most likely to be offered rent-to-own opportunities are probably the least likely to be able to afford the services of such an attorney.

I think it is reasonable to predict that, at least to the extent that the people to whom rent-to-own offers are targeted have the same level of business, legal, and financial sophistication as the people who recently got hammered in the subprime mortgage debacle, we will be starting a new chapter (actually, we'll be re-starting a very old chapter) in the "Book of Real Estate Scams" (You don't need to be clairvoyant to see this coming, folks - just a novice real estate "historian").

For more on equity skimming / rent skimming, For posts on other stories of tenants unwittingly renting homes in foreclosure, go here and go here, and go here; and also, see Equity Skimming Foreclosure Rescue Scams. alpha

Manipulation Of Realtor's MLS May Play Part In Cash Back Mortgage Fraud Scams

The Miami Herald ran a story on Sunday on the possible use of the Realtor's Multiple Listing Service as a tool for fraud. According to the article:
  • "[R]eal estate agents say they are sometimes asked to raise the list price of a home. In mortgage fraud cases, that allows a broker to pay the seller at the original list price and keep the rest of the money as cash back at closing."

One member of the Florida Real Estate Commission, who is also managing broker of Coldwell Banker in Coral Gables, Florida says that the practice has become alarmingly common. For more, see Real estate sales listings are easy targets for abuse (Real estate professionals say the Multiple Listing Service can be manipulated by unscrupulous agents).

Zsa Zsa Gabor Battling Daughter In Another Alleged Intra Family Home Equity Theft

KABC-TV Channel 7 in Los Angeles ran a story last week about an ongoing (two years and counting) legal battle involving 90 year old actress Zsa Zsa Gabor who, along with her ninth and current husband, Frederick Prinz von Anhalt, are suing Ms. Gabor's daughter, Francesca Hilton. The claim is that Ms. Hilton allegedly stole $2 million by taking out a loan on the "modest" mansion in the Bel Air seection of Los Angeles that her mother and stepfather call home with forged powers of attorney.

One of the less important highlights in this story, which was reported in the Entertainment section of the KABC website, is that Ms. Hilton is also the daughter of hotel magnate Conrad Hilton, which reportedly makes her a distant aunt of everyone's favorite socialite, Paris Hilton. Another less than compelling highlight is that Gabor's current husband recently staked his claim to fame by being an "also ran" in his unsuccessful attempt at claiming to have fathered the child of the late Anna Nicole Smith.

If anyone's interested, see Court Drama for Gabor's Husband and Daughter (Zsa Zsa Gabor Entangled In Court Battle With Daughter), along with the KABC Channel 7 TV report which, depending on your sense of humor, may be worth a chuckle or two.

For story update, see Bizarre Tale of Gabor, Hilton and the Faux Prince: Case Closed? (9-24-07).

Mortgage Servicer "Has Standing" To Bring Foreclosure Actions, Say Three Courts

The national mortgage servicer Mortgage Electronic Registration Systems, Inc. ("MERS") has recently been determined to "have standing" to bring foreclosure actions on behalf of mortgage lenders by three state appellate courts in two states. For the longer version of this post, see Mortgage Servicer "Has Standing" To Bring Foreclosure Actions, Say Three Courts (The Home Equity Theft Reporter Cases & Articles).

Sunday, July 01, 2007

More On Foreclosure Eyesores

The Daily Tribune reports on the "tall grass" problem of Royal Oak, Michigan. Many of the problem properties involving overgrown grass in the area are in various stages of foreclosure. One homeowner who lived next to a home with an overgrown lawn that has since been cut now reports on a related problem. The wild animals that were once living in the uncut brush of the house next door have moved and have now taken up residency under her porch. For more, see City tackles foreclosure blight (Commissioner calls for steps to address overgrown yards).

The Cleveland Free Times has a story of the Cleveland, Ohio area community known as Slavic Village and the blight of hundreds of homes with peeling paint, boarded-up windows, and littered and weed-choked lawns, most of which being foreclosures owned by banks that once held the former owners' mortgages. Banks are reportedly considered among the most negligent property owners in Cuyahoga County, Ohio. The foreclosed houses they now own are reportedly left vacant, unattended and unmaintained, resulting in arrest warrants against some 30 banks for not showing up in court to answer criminal code violations. For more, see Stealing Home (Slavic Village Combats The Effects Of Foreclosures At The Street Level While Waiting For Solutions).

KFSN-TV Channel 30 in Fresno, California has a story on the danger that abandoned houses create for the community at this time of year. With the 4th of July (and the expected use of fireworks) coming up, Atwater, California officials are especially concerned this year because of the number of homes people have moved out of, leaving them abandoned with dead, bone dry lawns, creating a major fire hazard. Like many Valley cities, foreclosures in Atwater are on the rise. The other neighbors that surround these homes, are very concerned about their homes. For more, see Abandoned Homes Causing Concern for Atwater Residents.

The Washington Post has a story about the rise in foreclosures in D.C.-area suburbs. In addition to abandoned homes with untended yards, wind-borne trash, peeling and faded paint, and torn screens, homes are beginning to be used by their owners as transient lodging, taking in boarders to generate enough rent to make mortgage payments. For more, see Area Suburbs See Rise in Foreclosures (Even Affluent Neighborhoods Feel Effects of Subprime Mortgage Free Fall).

CBS13 (TV Channel 13 - Sacramento, California) reports that the local county mosquito control officials are seeking the help of local real estate agents to notify the county office of abandoned pools, which serve as breeding grounds for mosquitos. For more, see Foreclosed Homes Turn To Be Mosquito Haven, or watch the Channel 13 TV report (by reporter Edmundo Aguilar).

The Lodi News-Sentinel (Lodi, California) has a story of a local couple who moved into what they thought was their dream home in November, 2005, only to shortly discover that their dream was turning into a nightmare (ie. homes in the subdivision sitting empty for months at a time, green lawns turning to brown, tall weeds sprouting in place of neatly landscaped front gardens, "For sale" signs popping up throughout the neighborhood, replaced later by "for rent" signs, pigeons roosting on top of abandoned homes, leaving a mess below, tenants that throw loud late night parties moving in). For more, see Lodi homeowners find dream neighborhood not so charming.

Saturday, June 30, 2007

South Florida Man Gets 10 Years In Slammer In Straw Buyer, Identity Theft Mortgage Fraud

The South Florida Sun-Sentinel reports that Ishmael Grant, 60, of Lauderhill, Florida was sentenced Friday to 10 years in prison for his role in a South Florida crime ring that used stolen identities to buy more than 30 homes and receive $10 million in mortgages. Prosecutors had said Grant was involved in obtaining fraudulent mortgages valued at $3.3 million.

U.S. District Judge William Dimitrouleas reportedly described Grant as a leader in an "extensive criminal enterprise," involving eleven ring members who were accused of paying straw buyers to get mortgages. Eight of the 11 suspects charged have pleaded guilty in the fraud scam. Grant is the only one who has fought the charges at trial. The remaining two suspects are believed to be in Jamaica. The government is reportedly in the process of having them extradited.

For more, see Lauderhill man sentenced to 10 years for charges stemming from mortgage fraud case (Lauderhill man led group that used stolen IDs).

For a copy of the indictment in this case, see Indictment - USA vs. Patterson, Brown, McGuire, et al., (detailing the Federal Grand Jury's 47 charges against the 11 person fraud ring).

12 Indicted In Alleged Central Ohio Mortgage Fraud

WBNS-TV Channel 10 (Columbus, Ohio) reports:
  • "Twelve people who police said were involved in a mortgage fraud scheme were indicted Thursday on more than 70 charges. Police began their investigation in 2006 after a woman in California told Columbus police her identity had been stolen from someone in central Ohio. The investigation, headed by the state's Organized Crime Task Force, resulted in two indictments with a total of 38 counts and 77 charges. The mortgage fraud scheme involved people procuring loans under false pretenses, taking the money and then failing to pay it back, resulting in foreclosure of the properties, 10TV News reported."
For more, see 12 Charged In Mortgage Fraud Scheme or go here to watch WNBS Channel 10 report (by reporter Brittany Westbrook).

Texas Real Estate Developer Charged In Alleged Mortgage Fraud

The Houston Chronicle reports:
  • "A Clear Lake-area real estate developer and loan broker was arrested Friday on an federal indictment charging him with six counts of bank fraud and making false statements on loan and credit applications. It alleges Richard Bell obtained $2.7 million in loans from Wells Fargo Bank and Wachovia Bank to buy a home in League City and refinance an office building by using fraudulent documents about his income, assets, bonus and credit history. Bell attempted to obtain another loan from Wachovia for Harborside Mortgage Corp., which was refused, the indictment said."

Source: Clear Lake broker charged with fraud (2nd story from top).

See also, News Release, U.S. Attorney's Office (S.D. Texas).

Friday, June 29, 2007

Blanket Lien Foreclosure Affects 200 Innocent Homeowners

In Manatee County, Florida, a battle between the Oak View subdivision builder deMorgan Communities and McLeod Land Services of Sarasota, the company that did roads, utilities, sewers and drainage for the development, has resulted in a blanket lien of $500,000+ being placed on the entire subdivision for work that reportedly has not been paid for. The affect on the current residents of the subdivision is that roughly 200 innocent individual homeowners are finding themselves facing foreclosure through no fault of their own because of the unpaid debt that McLeod claims it is owed by the builder. A couple who currently owns a home in the subdivision and have a contract to sell it to a new buyer, have already had their closing put in limbo because of the blanket lien. For more, see Subdivision homeowners surprised by blanket lien (Sarasota Herald-Tribune).

See also, Contractor liens on Oak View homeowners (Bradenton Herald).

Another Lawsuit In New London Alleged Mortgage Fraud Scam

In Connecticut, The Day reports:
  • "A Waterford man whose housing complaint has garnered the attention of the Connecticut attorney general has filed a lawsuit in New London Superior Court seeking damages for real estate practices he calls 'fraudulent, oppressive, unethical, immoral and unscrupulous'. Luis Zayas, who told his story in The Day in May, purchased a $330,000 Waterford home in 2005 and is in severe debt and facing foreclosure. Zayas says the financing he received through New London loan originator Jose Guzman was based on bogus listed assets and income figures. The $81,000 worth of improvements he believed the house had received before the sale were faked as well, he says."
Named in the lawsuit are mortgage loan originator Jose Guzman, Zayas' then attorney Alan Messier; the seller, Juan Velez; the seller's attorney, Maurizio Lancia; the appraiser, Peter Kilbride; Royal Financial Services LLC, and Elizabeth Athan Real Estate in New London.

Guzman and other defendants named in the suit are also being sued by three other people who have similar claims. Connecticut Attorney General Richard Blumenthal is investigating the allegations and has said he is near to filing a suit. Meanwhile, several more people have come forward to both The Day and Blumenthal to claim they were victims of a scheme that includes purchasing houses in different names, redirecting profits and falsifying financial information in order to profit from the sale of houses in New London, Waterford and Norwich at the expense of the homebuyers and sellers.

For more, see Lawsuit Alleges 'Fraudulent' Real Estate Practices (Plaintiff Says He Was Targeted Because He Was A First-Time Homebuyer).

For story update, see Real Estate Offices Close Amid Lawsuits And Foreclosures (Alleged Predatory Lending Under Investigation By State) (TheDay.com - 8-29-07).

Go here for other posts on this investigation.

Upstate NY Feds Get Straw Buyer Guilty Plea In Mortgage Fraud

According to EmpireStateNews.net, Federal authorities announced that William Lask, 63, of Schenectady, New York pleaded guilty Wednesday to conspiring with Anthony Andersen and others in a mortgage fraud scheme. Lask admitted in substance that he acted as a straw borrower in the charged scheme, allowing Andersen to use his name and personal information to obtain loans for two properties in Troy, NY, and that Andersen paid him $17,000 for the two loan transactions. For more, see Man pleads guilty to mortgage fraud.

Go here for prior posts on this alleged mortgage fraud scam.

Thursday, June 28, 2007

California Mortgage Fraud Targets Surrender Brokers' Licenses

In Southern California, The Press Enterprise reports:
  • "Stonewood Consulting Inc. and its broker, Hendrix Moreno Montecastro, will forfeit their real estate licenses rather than contest a wide range of violations filed against them by the California Department of Real Estate, according to an agreement filed with the department. [...] Among the accusations the department filed late last month against Stonewood and Montecastro was that they used inflated appraisals and took commissions ranging from $74,000 to $115,000 for each house they bought for investors. Stonewood represented investors in buying hundreds of homes in Riverside County, particularly in Murrieta and Temecula. Many of the houses are now in default or foreclosure and many of their former clients are suing Stonewood for fraud. The company is also under investigation by the Riverside County District Attorney."

Stonewood Consulting and Montecastro are also targets in several civil lawsuits accusing them of fraud. Richard Ackerman, a lawyer for many of the plaintiffs, said hundreds of investors in California and several other states were defrauded. For more, see Murrieta company, broker to forfeit licensese.

Go here for other posts on this story.

New Hampshire Lawmakers Pass Foreclosure Rescue Statute

Foster's Online reports:
  • "Lawmakers passed a bill Wednesday to protect homeowners from losing their homes and their equity to foreclosure rescue scams."

Now that both Houses of the State legislature have agreed to and passed the bill, the final stop for it is the Governor's desk for his signature. For more, see N.H. bill aims to stop foreclosure rescue scams.

Senate Told Of Appraiser Coercion To Inflate Valuations

CNNMoney reports:
  • "In prepared testimony Tuesday before a Senate subcommittee on mortgage industry abuses, Alan Hummel, spokesman for the Appraisal Institute said 'Appraisers face pressure from various parties involved in mortgage transactions. They are told to doctor their appraisals or else never see work from those parties again'. Hummel blamed poor regulation of mortgage brokers and lenders, and weak or nonexistent enforcement of real estate practitioners."

The inflating of real estate appraisals is referred to as "hitting the number", and how often an appraiser can "hit the number" may determine how much work comes his/her way from unscrupulous mortgage brokers and loan officers. For more, see Appraisers push for real estate fraud rules (Testimony before Senate subcommittee reveals pressure placed on appraisers to inflate valuations).

NY Mobster Admits To "Stealing" His Grandmother's Home Equity

AM New York reports on an ongoing Federal racketeering trial in which mob turncoat Dominick Cicale, 40, once an acting captain in the Bonanno family, testified as a witness for the government in a Brooklyn Federal Court against two alleged mobsters. Under cross examination, and in an attempt to impeach Cicale's credibility, defense attorney James Kousouros got Cicale to admit that he had lied at times to avoid going to jail and Cicale also admitted carrying out scams, including soliciting the forgery of his 94 year old grandmother's signature on a mortgage for cash for his business. Cicale testified that his grandmother's home is now in foreclosure. For more, see Mob turncoat fingers bosses in hit.

See also, Illegal Briefs (Mobster Made His Capos Strip) (New York Post)

Florida Unlicensed Contractor Gets 5 Years For Cheating Over Two Dozen Homeowners

(revised 7-9-07)
The St. Petersburg Times reports that Mark Shannon Kiser, who falsely held himself out as a licensed contractor and who was charged with bilking over two dozen victims victims across Pinellas County, Florida out of more than $1-million, was sentenced to five years in prison followed by 15 years of probation. He was also ordered to pay $500, 000 in restitution to his victims. Kiser used the business names "Hill Construction" and "Hill Construction and Design" in carrying out the scam. For more, see Unlicensed contractor gets 5 years (Bilked of $1-million, two dozen homeowners spoke at his sentencing).

See also, DPBR, state attorney investigations lead to contractor jail time (Tampa Bay Business Journal).

Wednesday, June 27, 2007

Six Month Suspension For Mass. Lawyer Who Bought Client's Home At Foreclosure Sale

The Sun Chronicle reports that North Attleboro, Massachusetts attorney Michael J. Duggan, a lawyer for more than three decades, has had his law license reinstated after serving a six month suspension because of conflict of interest and ethics violations.

The law license suspension was over Duggan's representation of a financially strapped local couple facing foreclosure. According to the article, Duggan was hired by the couple to protect their North Attleboro home from foreclosure and restructure their debt; instead, he reportedly ended up purchasing the home himself at the foreclosure sale. For more, see North Attleboro lawyer Duggan's license reinstated.
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Postscript

The couple subsequently filed a civil lawsuit against Duggan and ultimately was entitled to get back some of their home equity. For more details on this case, in which a Massachusetts appeals court sets forth the specific conduct that they determined that Duggan engaged in and, in essence, awarded the couple the right to their home equity back (by imposing a constructive trust on the home and the attorney), see Duggan v. Gonsalves, 65 Mass. App. Ct. 250; 838 N.E.2d 614; (Mass. App. Ct. 2005) (case available online courtesy of Findlaw.com).

According to the court case, it wasn't until immediately prior to the foreclosure sale that Duggan advised his clients, the homeowners, that he was going to bid on the home. He informed them that if he was the successful purchaser, he would let them stay in the house and rent it for a year. A dispute about the rent arose shortly after Duggan purchased the home and he subsequently attempted to have the homeowners evicted (sound familiar?)

By the way, the Massachusetts appellate court decision constituted a reversal of an earlier decision of a trial court, in which the judge initially hearing the case apparently didn't think the homeowners were entitled to relief. Fortunately for the homeowners, their legal counsel was prepared to appeal the initial decision and have it reversed by the higher court.

Delaware Lawmakers To Consider Foreclosure Rescue Legislation

In Delaware, The News Journal reports:
  • "In an effort to curtail scam artists who take advantage of vulnerable homeowners, the Mortgage Rescue Fraud Protection Act was introduced Tuesday in the Delaware Senate. Sponsored by Sen. Robert I. Marshall, D-Wilmington West, the bill aims to make it more difficult for so-called "mortgage consultants" to ensnare homeowners trying to avoid foreclosure."

The legislation, currently referred to as Senate Bill 163 is reportedly based on similar laws in effect in other states. For more, see Senate bill to protect Del. homeowners (With scammers capitalizing on rising foreclosure rate, lawmaker wants to crack down on fraud).

For story update, see Law Regulating Foreclosure Rescue Among Financing-Related Homeowner Protection Bills Signed By Delaware Governor.

Tuesday, June 26, 2007

California Squatters Using Adverse Possession To "Steal" Land From Property Owners?

Riverside County, California Treasurer-Tax Collector Paul McDonnell is seeking changes to an obscure state law that allows squatters to take land from unsuspecting owners, according to a recent story in The Press-Enterprise. The state law involved is the law of adverse possession which, according to McDonnell, has created "a cottage industry of people who are attempting to capitalize on the weakness of others."

In California, the adverse possession law allows an individual to acquire title to a property if they've fenced it, openly occupied it without permission and paid property taxes continuously for five years. McDonnell has discovered that there are 20 cases in Riverside County where this law is being used in an attempt to take title to properties away from the existing property owners.

In San Bernardino County, Assistant Treasurer-Tax Collector Annette Kerber said adverse possession has been an issue in her county as well, and has found cases where even though the title holder has already paid their taxes, a non-owner will insist his payment be applied.

The story also describes the alleged activities of Jeff Downtain, a local man who with his family, has been accused by a half-dozen Wildomar landowners of erecting a large fence and installed guards to keep them off their own property. Some claim to have been threatened. According to a local real estate agent, whose elderly client's property has been fenced off, "The Downtains' whole MO is to prey on the elderly, pay their (property) taxes, put their names on the title as a tenant in common, and take control of these people's properties. They will confront you. They are violent people."

The local district attorney's office is conducting a criminal real estate fraud investigation into the Downtain family's efforts to take their neighbors' land. Jeff Downtain denies any wrongdoing. For more, see Obscure law that benefits squatters criticized.

Go here for other posts on using the adverse possession legal mechanism to acquire title to property without having to pay for it.

Go here for posts on vacant homes and squatters. squatter foreclosure zebra adverse possession alpha

Mass. AG Trains 150+ Attorneys For Pro Bono Legal Services For Homeowners Facing Foreclosure

Last week, Massachusetts Attorney General Martha Coakley's Office, in collaboration with several bar and advocacy groups, hosted a two-day training session, on June 20 and 21, for local attorneys who have volunteered to provide pro bono legal assistance to homeowners facing foreclosure. Approximately 150 attorneys from throughout the Commonwealth attended the training, each committing to take on at least one pro bono case.

The training covered, among other things, litigation tactics relative to foreclosures, consumer claims and defenses, and reviewing loan documents.

Earlier this month, Attorney General Coakley announced the formation of a pro bono attorneys group as part of a multi-faceted plan to address the current foreclosure crisis in Massachusetts.

The Boston Bar Association will establish a referral hotline for individuals and families in need of such services to connect with volunteer attorneys. The referral hotline should be in place by within the next several weeks. Massacusetts attorneys who are interested in volunteering their services for this project should contact the Boston Bar Association at (617) 778-1934. Attorneys are still needed from areas of Massachusetts beyond the greater Boston area.

For more, see Press Release - Massachusetts Attorney General's Office.

California CSLB Stings Unlicensed Contractors

Working with the Elk Grove Police Department, investigators from the California Contractors State License Board (CSLB) conducted a sting operation in Elk Grove, California last week that nailed 30 unlicensed contractors who allegedly bid on work they weren't licensed to perform. Investigators posed as homeowners and invited suspected unlicensed contractors to bid on home improvement jobs such as landscaping, tile work, and painting. For more, see Elk Grove sting targets unlicensed contractors.

Hiring A Home Improvement Contractor? Ask These Questions

An article in Realty Times lists and describes specific questions a homeowner should be asking a contractor before signing a home improvement contract. Answers to these questions will (hopefully) go a long way to keep a homeowner from getting hurt financially, either when dealing with a legitimate contractor or an unlicensed, fly-by-night scam artist. For more, see Important Questions to Ask Before You Sign a Remodeling Contract.