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Government Auction and Foreclosure Scams to Avoid

Common government auction and foreclosure scams, from paid list schemes and fake auction sites to foreclosure rescue fraud, with red flags and where to report them.

Common scams

  • Paid lists of seized or foreclosed property: official government listings are free. No one needs to sell you a list or a membership.
  • Fake auction sites that copy government logos and ask you to pay by wire transfer, gift card or cryptocurrency.
  • Phone or text offers to sell you a seized car or home before it goes to auction.
  • Foreclosure rescue schemes that charge upfront fees to stop a sale or ask the homeowner to sign over the deed.
  • Fake notices claiming you won an auction you never bid on, with a link to pay.

How to protect yourself

  • Type the official address yourself. Federal auction sites end in .gov or are linked from a .gov page.
  • Never wire money to an individual. Pay only through the methods in the official terms of sale.
  • Check the case number and sale notice with the county clerk or sheriff before bidding on a foreclosure.
  • Homeowners facing foreclosure can get free help from a HUD-approved housing counselor.

Where to report fraud

  • Federal Trade Commission: ReportFraud.ftc.gov.
  • HUD Office of Inspector General hotline for HUD home and FHA fraud.
  • Your state attorney general's consumer protection office.

Frequently asked questions

Do I have to pay to see government auction listings?
No. Federal, state and county agencies publish their auction listings for free. Sites that charge for lists of seized property are a red flag.
How can I tell if an auction site is real?
Start from the agency's .gov website and follow its link to the auction platform. Be wary of sites you reached from ads, texts or social media posts.

This guide explains general rules and is not legal or financial advice. Sale terms are set by each agency and county, so read the official terms before you bid.