Be Careful! 4 Red Flags Mineral Rights Sellers Should Know

When you’re selling mineral rights, it’s important to be aware of the red flags that may indicate a scam. Unfortunately, many companies out there are only interested in taking advantage of mineral rights sellers.

We know that it can be difficult to know who to trust when selling mineral rights. Today, we want to provide you with some information about the 4 biggest red flags to watch out for. Keep reading for more.

What’s A Mineral Rights Company?

Before we get into the red flags, it’s important to understand what a mineral rights company is.

A mineral rights company buys or leases mineral rights from landowners. This can be an incredibly lucrative opportunity for landowners who sell mineral rights, as oil and gas prices have risen in recent years.

4 Red Flags Mineral Rights Sellers Should Know

It’s highly important to be aware of the risks involved in selling mineral rights. Scammers can take advantage of landowners who aren’t familiar with the process.

Red Flag #01: Asking For Money Upfront

One of the biggest red flags to watch out for is a company that asks for money upfront. A legitimate mineral rights company will never ask you to pay them before they’ve done any work.

Red Flag #02: Not Being Clear About Fees

Another red flag is a company that doesn’t disclose its fees upfront. Any reputable mineral rights company will tell you how much they plan to charge before they begin working.

Red Flag #03: Claiming To Have Exclusive Access To Sellers

The third red flag to watch out for is a company claiming exclusive access to mineral rights sellers. This claim isn’t true since so many sellers are looking for buyers.

Red Flag #04: Not Getting Fair Value

Unfortunately, this is not unusual for businesses to provide bids many times lower than the true value of your mineral rights royalties. Yes, every firm has to profit, however between “fair market value” and the bids some mineral owners come in with can be enormous. It’s unusual to be the only individual on the block who has received a bid. 

Make sure the comparable properties aren’t being used as a gimmick to get you to sell.

Sell Your Mineral Rights With Blue Flame Minerals

If you’re looking for a way to sell your mineral rights, look no further than Blue Flame Minerals; we buy mineral rights!

We’re a legitimate mineral rights company with a reputation for honesty and integrity. We will disclose any fees and never ask for money upfront. We also offer a fair price for mineral rights royalties. Get in touch with us today.

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