Memorandum of Interest Scam: A Warning for AZ Sellers

March 19, 2026•1 min read

🚨🚨⚠️The biggest real estate trap I’m seeing in 2025 — and it’s hitting unrepresented sellers hard. Here’s how the scam works:

1️⃣ A shady “investor” approaches you off-market.
2️⃣ They get you to sign a low-commitment purchase contract.
3️⃣ Then they go down to the county recorder’s office and file a Memorandum of Interest against your property. 4️⃣ That document creates a cloud on title — basically blocking you from selling to anyone else.
5️⃣ Now you’re stuck in escrow with someone who never planned to close…
6️⃣ …and they demand money to release their interest.

That’s not creative finance.

That’s extortion by paperwork.

Here’s how to protect yourself:

✅ Never sign a contract without representation.
✅ Watch for long inspection windows.
✅ Require earnest money.
✅ Check for assignment clauses.

✅ Add “no recording of Memorandum of Interest” language.

If someone files one against you without a valid purpose, attorneys can pursue: Slander of title Tortious interference Damages Quiet title actions ☎️💯Good investors create win-wins. 🦹‍♂️ Bad investors create chokeholds. If you’re selling off-market and want to avoid getting trapped, or you need help removing a Memorandum of Interest — message me. I’ve seen this movie before.

DM me “MOI protection” and I’ll send you the clause that prevents this. Like, comment, and follow for more https://link.msgsndr.com/sp/b502e6d4bf8

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PHONE
(602) 486-0270

EMAIL

Brokerage - AM/PM
Property Management

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