Real Estate Wire Fraud remains a serious threat in this industry, with over $145 Million in losses reported for the year 2024 alone. Scammers are getting more sophisticated, including fake websites and emails/text messages that mimic real estate agents and escrow officers involved in the transaction. Because wire transfers may be difficult if not impossible to reverse, victims often cannot recover the lost funds. As a result, follow these simple tips from Gefen Law and Signature Title Group to help keep you safe.
- Verify independently all wiring instructions via a known telephone number you have previously used, and not the one contained in the transmission email, ensuring that you are communicating with legitimate parties.
- Work with lenders, title companies, and attorneys who use secure systems and encrypted communications.
- Talk to your real estate agent, title company, and attorney at the very beginning of the transaction to understand how funds are transferred and what to expect.
- Check sender email domains for slight misspellings or grammar typos that are inconsistent with prior correspondence with the real estate professional.
- Do not act on any purported change to previously sent wire instructions, as this is the biggest red flag of them all!
Watch our YouTube video for further details on preventing real estate wire fraud.
