Hollywood To Unleash Annoying 'Robo-Call' Program In Effort To Combat Roadside Bandit Signs Peddling Foreclosure Scams, Real Estate, Junk Cars, Etc.

In Hollywood, Florida, The Miami Herald reports:

• You see them everywhere — those unsightly and illegal signs advertising companies looking to buy homes or rescue someone from foreclosure that clutter public right-of-ways. Most of them give phone numbers, telling people to call.



• And Now Hollywood Mayor Peter Bober is on a mission to give them what they want — calls, lots of ’em. This week, the city started using a robo-call system to plug in the numbers advertised on signs. The robo-calls will dial the number over and over again, until the company pays a fine for putting the signs up.



• The first offense is $75, the second is $150, the third is $250 and then if there are additional offenses the business must appear in front of a magistrate. “I think this is an opportunity to beat these entrepreneurs at their own game,” Bober said, saying offenders can receive as many as 20 calls a day. “They wanted calls, now they are going to get them.”



• Bober began his mission two years ago with a contest meant to remove the signs. He promised the person who removed the most illegal signs and brought them into City Hall would receive $500. Now, he’s urging residents to participate in the calling campaign.



• “When you see snipe-signs littering the city, I want you to call the number and tell the nice person who answers to stop littering public rights-of-way and remove their ridiculous, plastic, snipe signs,” he wrote in the city newsletter New Horizons.



• Snipe signs are any type of makeshift sign advertising anything from junk cars to real estate to education courses. Although they pop up everywhere, there is a forest of them in the medians and along the sidewalks of main thoroughfares such as Dixie Highway and State Road 441.



• Hollywood Police Maj. Joseph Healey said the signs — which are prohibited by city code — have been a drain on the code enforcement department, with the nearly dozen officers starting everyday with removing the eyesores.

For the story, see ‘Robo-calls’ are Hollywood’s weapon against illegal signs (Companies that advertise with signs stuck in the median may soon be getting more calls than they can handle).

Pennsylvania AG: Real Estate Operator Used Bandit Signs, Craigslist To Place Deceptive Ads Claiming Outfit Would Buy Homes "As-Is", "For Cash", Other BS; One Foreclosure-Facing Homeowner Signed Over Title To Home That Was Subsequently Used In Peddling Rent-To-Own Deal While Leaving Defaulted Mortgage Unpaid

From the Office of the Pennsylvania Attorney General:

• Attorney General Kathleen G. Kane [] announced her office has filed a legal action against the former principal of an Erie County business accused of misleading consumers through advertisements.
  
  The legal action against Christine J. Neubauer also names her former company, Sell House in 1 Hour, LLC, as a defendant. It was filed in the Erie County Court of Common Pleas by the Office of Attorney General's Bureau of Consumer Protection.
  
  The legal action alleges Neubauer’s advertising did not represent the actual services that were offered to consumers once they contacted her business. The ads, which appeared on her website, www.sellhousein1hour.com, and Craigslist, among other places, claimed the company would buy property “as is,” for “cash” and some signs said “stop foreclosure."(1) Other ads offered “quick sales” and “no realtor fees."
  
  An investigation showed Neubauer and her company did not deliver the services advertised but rather switched consumers to other services once they contacted her. Additionally, the business advertised specific services that required a license under the Mortgage Licensing Act. Neither Neubauer nor her business possessed such a license, the legal action states.
  
  In one case, the owner of a property who was threatened with foreclosure signed documents transferring the title to her property to Neubauer's company. Rather than provide advertised services, such as a “fast sale” and payment in “cash," Neubauer directed her efforts to finding a tenant for the property who would enter into a rent-to-own transaction.
  
  These alleged business practices, rather than stopping foreclosure on the original owner’s existing mortgages, exposed the owner to continuing liability on the past due mortgages.
  
  The legal action accuses Neubauer of violating the Mortgage Licensing Act and the Consumer Protection Law. It seeks to permanently prohibit Neubauer from doing future business with Pennsylvanians, including owning or operating any business that claims to provide real estate or mortgage brokering services.
  
  The legal action also seeks full restitution for all consumers who have suffered losses as a result of the alleged business practices of Neubauer and her company. Additionally, the legal action seeks a $1,000 civil penalty for each violation of the Consumer Protection Law and $3,000 for each violation involving a person 60 years old or older.

Source: Attorney General's office files legal action against Erie County woman and former business.

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(1) Go here for other posts on the use of "bandit signs" to peddle real estate scams, and go here for examples of bandit signs peddling real estate, related services, and other crap.

DeKalb County Declares War On Roadside 'Bandit' Signs Peddling Foreclosure Rescue, Junk Car Buyers, Etc.

In DeKalb County, Georgia, The Atlanta Journal Constitution reports:

• The brightly colored signs shoved into the ground next to DeKalb County roads have a new enemy: all county workers. Any county employee assigned a vehicle – including sanitation workers and animal control officers -- soon will be authorized to remove illegal signs and placards along roadsides countywide under a law approved Tuesday by the Board of County Commissioners.
• “I’m seeing a whole lot of ‘We Buy Junk Cars” out there," said Commissioner Larry Johnson, who pushed for the law. “Removing these kinds of signs helps keep DeKalb beautiful.”
• The county’s code enforcement division is charged with handling the nuisance signs, which also appear tacked to utility poles and slathered on buildings. That office, though, is overwhelmed with keeping an eye on properties, officials say. DeKalb is among top three counties in the state for foreclosures, with more than 13,000 in its borders.
• Empowering other county workers to yank out illicit signs will give those enforcement officers a hand in battling the problem. Johnson said he also plans a crackdown on violators, who faces civil fines when caught.
• The county will spend the next few months training workers on how to spot illegal signs, such as the ones advertising ways to avoid foreclosure, versus proper ones such those for real estate. County workers will be allowed to start removing signs in the fall. "The truth is, these illegal signs are a lot like graffiti,” said Commissioner Jeff Rader. “The quicker you can get them down, the more you deny them any benefit of being up.”

Source: DeKalb enlists county workers to police signs.

More Cities Consider Bandwagon Jumping Onto Robocalling Movement Targeting Roadside 'Bandit Signs' Peddling Foreclosure Rescue Ripoffs, Other Come-Ons

In Broward County, Florida, the South Florida Sun Sentinel reports:

• More Broward cities have found a new way to drive people crazy, but this time it's the scofflaws they're targeting.
  
  Following Hollywood's example, cities are going after businesses who scatter their advertising in the public right-of-way by starting a robocalling system — which is essentially serial calls.
  
  Now Tamarac has started the calls and says it sees a marked improvement. Pompano Beach has agreed to start soon, too.
  
  "We're hoping this will solve the problem by annoying them," said Pompano Beach Vice Mayor George Brummer. "That's the purpose, to upset them enough and to interrupt their business enough by making the phone calls."
  
  In Hollywood, where signs abound to buy gold and junk cars, fix your AC or rescue you from foreclosure, pre-recorded messages tell those businesses their signs were illegally placed in a public right of way and must be removed. And if they want the calls to stop, they must go to City Hall — where they'll receive a citation — and fill out paperwork confirming that the signs have been removed.
  
  Pompano Beach decided last week to jump on the robocall bandwagon. As soon as the city purchases the robocalling software, the snipe sign businesses can expect a few calls.
  

***

• In Hollywood, the calls have worked, said city spokeswoman Raelin Storey. The city's removed 117 signs in March, when it first started the robocalling program; 24 were removed in April and 13 in May.
  
  "Our code enforcement unit reports an estimated decrease in the number of signs of 90 percent," Storey said. "We believe that as the companies that place these signs began getting the calls, they made the decision that putting up illegal snipe signs in Hollywood was not worth the trouble. The calls have had a deterrent effect."
  
  Cities and departments from all over the country have called about the program, Storey said. Among them are Las Vegas, Nev.; the Delaware Department of Transportation; Salisbury, Maryland; Chattanooga, Tenn.; and Florida cities Oakland Park, Plant City, Lauderhill, Miramar, and Leesburg.

For the story, see Tamarac and Pompano Beach to use robocalls against snipe signs.

Cops To Homeowners: Take Caution When Responding To Roadside 'Bandit Signs' Offering Mortgage Help

In Lee County, Florida, WINK News reports:

• Signs have been popping up around Fort Myers, promising big bucks if a company can assume your mortgage. Most of the handwritten signs read: "We pay $10,000 to take over your mortgage." At the bottom, there's a phone number to call, but no name or business listed.



• Stacey Payne, with the Lee County Sheriff's Office Fraud Line, says the lack of information should be a red flag to homeowners. "With somebody who's saying they have a mortgage company or they're going to help you with your mortgage, there should be a business, a legitimate business tied to that phone number," Payne says.



• While local law enforcement have not gotten any complaints about the signs, Payne says she hopes people will study up on the company and its offer before diving into anything.



• "They should due their due diligence, due their research, Google the phone number, the name of the person, the name of the business," Payne says. That's because what the signs promise closely resembles a scam that has already been documented, she says.



• In the foreclosure "rescue" scenario, scammers target homeowners having trouble making their mortgage payments. The scammers offer to help, then trick people into handing over much more."Individuals were signing over the deed to their home," Payne says. "It wasn't that they didn't have a mortgage -- they were no longer the owner of their home." She says that is when the new owner would send a letter demanding complete payment of the mortgage and threatening eviction.



• WINK News found three different phone numbers on similar mortgage signs around town. All of them rang to the same voicemail. The person answering the phone declined to discuss the details of the mortgage offer, and hung up when pressed for the name of the company.



• The Better Business Bureau was unable to find complaints tied to the phone numbers listed on the signs. However, the BBB says most mortgages cannot be transferred and usually require lender permission to do so.

Source: Deputies skeptical about roadside mortgage signs.

NC AG To Financially Struggling Homeowners, Wanna-Be Homebuyers: Beware Of Being Baited By Roadside 'Bandit Signs' Advertising "We Buy Homes" Or "Rent-To-Own" Deals; Offers May Be Nothing More Than Cover For Rent-Skimming Racket

From the Office of the North Carolina Attorney General:

• Scammers are trying to take advantage of struggling families by promising to buy homes for quick cash.
  
  These scammers send postcards and put out signs proclaiming, “We buy homes!” But rather than buying houses as advertised, most of these companies will try to convince you to sign over control of your home. The company then leases the property out to a new tenant. As a result, you lose rights to your home but remain on the hook for mortgage payments.
  
  Homebuyers or tenants can also be hit hard by these scams, which can advertise homes in deceptive rent-to-own agreements for big upfront fees.
  
  Before you reply to a “we buy homes” ad, remember:
  
  These companies aren’t likely to pay cash for your home or help secure a fast payoff of your current mortgage.
  
  Beware of anyone who asks you to sign over the title to your home based only on their promises to sell your property.
  
  If you’re struggling to pay your mortgage, speak with your lender directly. You can also contact the State Home Foreclosure Prevention Project for help at 1-888-442-8188.
  
  Prospective tenants and buyers should never pay money upfront before signing a lease or contract. Work with a real estate or leasing agent you trust.
  
  In rent-to-own agreements, always confirm that the person you’re signing the contract with is the owner of the home.
  
  If you think you’ve experienced a “we buy homes” scam or have questions about mortgage help you’ve heard advertised, please contact our Consumer Protection Division at 1-877-5-NO-SCAM or online at www.ncdoj.gov.

Source: “We buy homes” signs don’t provide the relief they promise.

Editor's Note: This advisory is equally applicable to contract for deed ripoffs and land contract rackets.

Texas-Based Real Estate Slum Operator Notorious In Houston & Buffalo For Peddling Crappy Rent-To-Own Deals To Unwitting Wanna-Be Homebuyers Hit With Baltimore Suit Alleging His Business Model Presents Nuisance That Threatens Communities' Well-Being

In Baltimore, Maryland, Baltimore City Paper reports:

• Backed by the non-profit Community Law Center,(1) six Baltimore neighborhood associations have sued a Texas-based property speculator for $8 million, saying his business model presents a nuisance that “threatens the well being of the communities.”
  
  The defendant, Scott Wizig, owns about 140 city properties, plus dozens more in Houston, where he is based. In the early 2000s he was charged criminally by the state of New York and dubbed “Buffalo’s worst slumlord,” eventually settling the case for several hundred thousand dollars. He started buying in Baltimore in 2001; City Paper took note of him three years later and not much has happened in the nine years since then.
  
  “He first got our attention with the ‘We buy houses’ signs,” says Kristine Dunkerton, the Community Law Center’s executive director. “He racked up quite a bill with the city for posting the signs. But he never did anything with the properties.”
  
  (Baltimore city strengthened its ordinance against so-called bandit signs in 2006. The city’s housing department enforces the ban, though with difficulty according to this 2009 City Paper story).
  
  Wizig buys run down houses via tax sales, paying just a couple thousand dollars each for houses that are arguably worth even less, because most need expensive rebuilding to be habitable. In the early 2000s he was renting them to tenants for about $500 a month through a local property manager. City Paper found tenants who said promised repairs were never made. The manager and Wizig blamed each other and Wizig said he was getting out of the rental business then: “We don’t anticipate doing any more rentals with new customers [in Baltimore], but we are certainly going to look into and make sure the existing customers are being taken care of.”
  
  In Buffalo and Houston, Wizig’s business model revolved around a lease-to-own contract, often one that required the lessee to rent for a couple of years before being able to exercise their option to buy the property. Houses Wizig picked up for a couple grand would routinely be sold for ten times that—though the buyers often defaulted, beginning the cycle anew.
  
  New York prosecutors called the scheme deceptive; Wizig eventually pleaded guilty to hundreds of violations of state housing laws there. The Houston Press, an alternative weekly, wrote about Wizig’s deals in Houston, though he has apparently faced much less legal trouble there.
  
  Land records indicate that Wizig has sold many houses in Baltimore, financing the purchase through one of his companies. It is unclear in the documents whether these are rent-to-own deals. But Wizig’s buyers do not always fare well, and Wizig is himself a defendant in five open foreclosure actions listed in Baltimore courts. The oldest, filed in August of 2011, involves 4046 Park Heights Ave., which a Wizig company called Compound Yield Play sold to Joan E. Lilly in 2008 for $43,200. Wizig had bought the property two years earlier for $2,202.
  
  Another house Wizig sold to Lilly, 1419 E. Federal St., is now in receivership after city action. Wizig’s bought it for $4,396 in 2006 and sold it to Lilly in 2008 for $39,900.
  
  Wizig did not return City Paper’s phone call.
  
  Wizing’s buyers and business partners are not party to the suit. Instead, neighbors of the dilapidated properties are suing under a law called The Community Bill of Rights. The law is more than a decade old, but amended only last year to make it usable to community associations, Dunkerton says. “We decided with the new Community Bill of Rights legislation . . . to put the community in the shoes of code enforcement.”

For the story, see Fed Up: Community associations sue problem landlord for millions.

(1) Community Law Center, a nonprofit law firm, provides legal services to community and nonprofit organizations throughout Maryland to promote stronger nonprofits and more vibrant neighborhoods.

NYC "Loan Scam Busters" Hit The Streets Of South Jamaica Targeting Side-Of-The-Road "Bandit" Signs Peddling Foreclosure Rescue Programs

In South Jamaica, Queens, the Queens Tribune reports:

• Volunteers took to the streets of Southeast Queens [last week] to help the City crack down on the vultures who prey on victims of the foreclosure crisis. The City Dept. of Consumer Affairs ["DCA"], partnering with NeighborWorks America, enlisted volunteers to bike through South Jamaica on July 31 to find and report deceptive foreclosure prevention ads posted in the neighborhood.

• For several months DCA has been canvassing neighborhoods in Queens and Brooklyn on foot documenting foreclosure scam ads and talking to residents about the fraudulent foreclosure aid practices they see happening in their area. These volunteers also give information to those who are in danger of losing their homes on getting free counseling from the city.

• This event marked the first time the volunteers, known as “loan scam busters,” used bicycles donated by Bike and Roll to canvass the entire neighborhood, enabling the DCA to cover a larger area faster. Volunteers armed with cameras and DCA forms for documenting advertising information – including where the advertisement was spotted, what type of ad it was and a brief description – headed out in teams of two at 11 a.m., after a brief training session on what to look for and where to look.

• “This is a dual purpose [campaign] – to educate and document,” said Amelia Erwitt, chief of staff for the DCA Office of Financial Empowerment. [...] The NYC Distressed Property Consultant Law was recently passed in an effort to stop predatory advertisements in neighborhoods hit hardest by foreclosure. The new law, aimed at printed materials, requires that ads state certain disclaimers, including no guarantee to stop foreclosure proceedings, that consultants cannot take money up front and consultants cannot retain original loan documents.(1)

• This law will make it easier for loan scammers to be prosecuted for predatory practices and enables DCA to gather more information about the foreclosure ads and ensure they are in compliance with the law.

For the story, see Fighting Predators Door-To-Door.

(1) The law also prohibits the consultant from snagging a power of attorney from a homeowner. New York City Administrative Code - Subchap. 5 - §20-723.3(b)(1)(iii).