Real Estate Fraud Is on the Rise — Here’s How to Protect Yourself as a Buyer or Seller

Buying or selling a home is one of the biggest financial decisions you’ll ever make. Unfortunately, it’s also become a growing target for cyber criminals.

According to the FBI Internet Crime Complaint Center, real estate-related fraud led to over $275 million in losses in 2025, impacting more than 12,000 victims. That number has steadily increased over the past few years—and with the use of AI, these scams are becoming more sophisticated and harder to spot.

As a Realtor working with clients every day, this is something I take very seriously. My goal is not just to help you buy or sell—but to protect you throughout the entire process.

Why Real Estate Transactions Are a Target

Real estate deals involve:

• Large sums of money
• Sensitive personal and financial information
• Multiple parties communicating (agents, lenders, attorneys, etc.)

That combination creates opportunities for scammers to step in and try to redirect funds or impersonate trusted professionals.

The Most Common Real Estate Scams

1. Wire Fraud (This is the big one)

Scammers hack or spoof emails and send fake wiring instructions, often posing as your closing attorney or lender.

Once money is wired, it’s extremely difficult to recover.

Key Tip: Always call your closing attorney directly using a known phone number before sending any wire.

2. Email & Identity Spoofing

With the help of AI, fraudsters can now create emails that look almost identical to legitimate ones—even mimicking writing styles.

They may:

• Change one letter in an email address
• Send urgent messages asking for updated payment info
• Pretend to be your agent, lender, or attorney

3. Rental & Listing Scams

Scammers may copy legitimate listings and advertise them as rentals or “too good to be true” deals—collecting deposits from unsuspecting buyers or tenants.

4. Investment Scams (“Pig Butchering”)

A newer trend involves building trust over time and convincing victims to invest in fake opportunities—often involving cryptocurrency.

The United States Secret Service reported that this type of scam alone led to millions in losses, even impacting real estate professionals.

How I Help Protect My Clients

When you work with me, I put systems in place to help reduce your risk:

• I walk you through exactly how funds will be transferred safely
• I make sure you know who you should be communicating with at every step
• I encourage verification before any financial move is made
• I stay in close contact so nothing feels uncertain or rushed

Simple Steps You Can Take to Stay Safe

Whether you’re buying or selling, these habits go a long way:

✔ Always verify wiring instructions by phone
✔ Be cautious of any last-minute changes to payment details
✔ Double-check email addresses carefully
✔ Avoid clicking links or downloading attachments from unknown sources
✔ Never send funds based on email alone

Final Thoughts

The real estate process should be exciting—not stressful or risky. While these scams are becoming more common, the good news is that they are preventable with the right awareness and guidance.

If you ever have a question—even if something just “feels off”—reach out. I would much rather double-check something for you than have you take a risk.

Your safety and your investment matter, and I’m here to help you navigate both with confidence.