How to protect yourself when buying in the U.S.
| Item | Fact (as of September 2026) |
|---|---|
| Licence check | dre.ca.gov: status, issue date, broker, discipline |
| Track record | Zillow agent profile: real closings and price range |
| Dual agency | Legal in California with written disclosure and consent |
| Wire verification | Call escrow on a number you found yourself; read the account back |
| Title protection | Owner's title insurance + county recording alerts (free in most counties) |
| Property and status | A purchase confers no immigration status |
What is the most expensive mistake a newcomer makes when buying in the U.S.?
Choosing the wrong people. A weak agent, lender or insurance broker costs you money quietly — a mispriced offer, the wrong loan product, a policy that does not cover what you assumed. The serious cases involve conflicts of interest that were never disclosed, or outright fraud. Everything else — the wrong neighborhood, an inspection issue, a rate that moved — is recoverable. Picking the wrong representation is often not. Verify before you commit, using the checks below.
How do I check whether a real estate agent is legitimate?
Check two things yourself, and do not rely on what the agent tells you. First, legitimacy: every California agent and broker appears in the Department of Real Estate public database at dre.ca.gov — search by name or licence number to see licence status, expiry, the brokerage they work under, and any disciplinary action on record. It is free and takes a minute. Second, actual track record: an agent's Zillow profile shows the transactions they have genuinely closed, the price range they work in, and how many sales they did in the last twelve months — verified activity rather than a claim on a business card. Do the same licence check for a loan officer through NMLS Consumer Access. Our own licence, every team member's licence and our Zillow and Homes.com records are on one page with the official links, so you can run these checks on us: Verify us.
What is dual agency, and should I worry about it?
Dual agency is when one agent, or one brokerage, represents both buyer and seller in the same transaction. It is legal in California but must be disclosed in writing and consented to by both sides. The concern is not the arrangement itself — it is an undisclosed one, or one where you were never told what it means for negotiation. Ask directly whether the agent represents the seller too, get the answer in writing, and if you are not comfortable, you are entitled to separate representation.
How do I protect myself from wire fraud when sending my down payment?
Never act on wiring instructions that arrive by email, and never accept a last-minute change to them. Criminals monitor real estate transactions and send convincing emails that appear to come from your escrow or title company. Before sending any funds, call the escrow officer on a phone number you already had — not one from the email — and read the account details back to them. Verify again if anything changes. This is the single largest source of unrecoverable loss in U.S. real estate transactions, and once the money is gone it is very difficult to get back.
Can someone fraudulently transfer or sell a property I own while I am overseas?
Deed and title fraud is a real category of crime — forged transfer documents filed against a property whose owner is absent. Vacant homes and properties owned by people living abroad are the typical targets. Protection is straightforward: buy an owner's title insurance policy at closing and keep it, sign up for your county recorder's free property alert service so you are notified whenever a document is recorded against your address, and have someone locally check the property periodically. Our property management clients get that last part as a matter of course.
Someone is offering an "off-market" home that is not listed. Is that legitimate?
Real off-market homes exist, but the source matters. The legitimate version is a referral between agents, with an identifiable owner, a title you can check, and a price negotiated on the market like any other deal. The warning signs: a reservation or introduction fee required before viewing, no inspection allowed, pressure to decide within days, or a deal that bypasses escrow. One rule covers it: money only ever goes into the escrow account.
Who should the deposit be paid to?
Only to the escrow company's account, and only after confirming the wire instructions by phone with escrow. Never to an agent personally, never to the seller, and never to an account sent by email or WeChat, even if the message looks like it came from your agent. In a legitimate transaction no payment ever goes to an individual first.
Can I back out after signing the contract?
Within the contingency periods, yes. The standard California purchase contract gives the buyer inspection, appraisal and financing contingencies, and cancelling within the stated days for those reasons returns your deposit. Backing out after all contingencies are removed usually forfeits the deposit and can carry other liability. Read every deadline before you sign; we go through them line by line with you first.
My agent is urging me to waive the inspection or financing contingency. Is that normal?
In a competitive bidding situation, shortening or waiving certain contingencies is a common tactic, but the decision is yours, and the agent's job is to explain the risk, not to make the call for you. Be wary if they cannot spell out what you would be liable for after waiving, or if the push is simply to close the deal faster. Our approach is to write down the worst case for each waived contingency and let you decide with that in front of you.
What are the most common scams when buying?
Wire fraud is the most common: a fraudster impersonates the escrow company or an agent by email and changes the wire instructions, and once the money is sent it is rarely recovered, so always verify by phone before wiring. Next are fake rental listings that use photos of a home for sale, collect a deposit and disappear. Then impostor agents, which you defeat by checking the licence number on the California DRE website. The rules: no advance payments, no trusting email alone, and money only into escrow.
What do people most often regret after buying a home in the US?
The four regrets we see most: budgeting only the price and discovering property tax, insurance and HOA add tens of thousands a year; waiving inspection to win a bidding war and finding roof, plumbing or foundation problems after moving in; checking schools by city rather than by address and missing the intended school; and skipping comparisons on an "off-market" deal and overpaying. All four are avoidable before you buy; the methods are here: Ten things to know before buying in Southern California.
What are the three biggest risks when buying a home in the US?
Wire fraud, title problems and hidden defects. Wire fraud causes the largest losses: before sending money, call escrow at a number you already had to confirm the account. Title problems are covered by title insurance and the escrow company's title search; never touch a transaction that bypasses escrow. Hidden defects are addressed by inspection, termite reports and the seller's written disclosures; California law requires sellers to disclose known material problems, and concealment can be pursued.
What are the ten things not to do when buying a home in the US?
In short: do not tour without a pre-approval, do not budget the price without the cost of owning, do not waive inspection, do not judge schools by city instead of address, do not wire money to an account from an email, do not remove every contingency, do not believe "buy a home, get a green card," do not skip comparisons on an off-market deal, do not let unlicensed people handle your money, and do not open new credit or move large sums during loan approval. The reasons and methods behind each: Ten things to know before buying in Southern California.
Do I need a lawyer to buy a home in the US?
In California, residential purchases generally do not involve a lawyer: contracts use California Association of Realtors standard forms and closing is handled by a neutral escrow company and a title company, unlike New York and some other states. A lawyer is worth hiring when title is disputed, the property is held in a trust or company, it is an inherited property, or the tax planning is complex, such as estate planning for a foreign owner. Agents cannot give legal or tax advice, and we refer those questions to the right professionals.
The pattern that hurts newcomers most
Not dramatic fraud but three quiet habits: an agent on both sides without saying so, steering toward higher-paying listings, and discouraging an independent inspection. The defence is structural: your own inspection, your own read of the title report, and the question 'why this one?'
Slow down when you see these
Pressure to waive inspection, reluctance to put answers in writing, vagueness about representation, refusal to give a licence number, late-appearing fees, wiring instructions by email with a 'changed account'.
A checklist you can use today
DRE licence and discipline; Zillow closings for two years; representation and compensation in writing; your own inspector; phone verification before every wire; owner's title insurance at closing; county recording alerts after. The checks themselves are free and take under an hour; the inspection and title policy are normal transaction costs.
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Shirley Tang Team (雪梨汤) · 888 Realty · DRE #01845722
19811 Colima Rd. #230, Walnut, CA 91789 · (626) 202-9573 · shirleytangrealtor@gmail.com
Have something specific to check? Contact us in English or Chinese — even if you end up working with someone else.
General information, not legal, tax or lending advice. Consult a licensed professional about your situation. 'As of' dates mark when facts were checked.