Real Estate Fraud Is on the Rise: Here’s How to Protect Yourself

Buying or selling a home is one of the biggest financial moves most people make. Unfortunately, it has also become a target for fraud. Scammers know that large sums of money are involved in real estate transactions, and they are finding new ways to take advantage of unsuspecting buyers, sellers, and even professionals.

The good news is that with some awareness and simple precautions, you can protect yourself.

Common Types of Real Estate Fraud

Wire Fraud
This is one of the most common scams. Criminals hack into email accounts of buyers, sellers, or real estate agents and send fake wiring instructions. If you unknowingly send your money to a scammer’s account, it can be nearly impossible to get it back.

Title Fraud
A scammer may forge documents to make it look like they own your property. They can then try to sell it or take out a loan against it without your knowledge.

Rental Scams
Fraudsters post fake rental listings using photos of real properties. They collect deposits or rent from multiple people and then disappear.

Phishing Scams
Scammers send emails or texts pretending to be your agent, lender, or title company. They ask for sensitive information such as bank account numbers or social security numbers.

How to Protect Yourself

Verify All Instructions in Person or by Phone
If you receive an email or text with wiring instructions, always call your real estate agent or title company directly using a known, trusted phone number before sending money. DO NOT rely only on email. A reliable title company will have a robust verification process.

Monitor Your Property Records
Regularly check with your county’s property appraiser or recorder’s office to confirm your name is still listed as the owner. Some counties even offer free alerts if there is any change to your property records. Ensure you have set up your property with the county for automated alerts.

Work with Trusted Professionals
Choose licensed real estate agents, lenders, and title companies with a strong reputation. Professionals who use secure communication systems are less vulnerable to cybercrime.

Protect Your Personal Information
Do not share personal or financial information over email or text. Use secure websites, encrypted portals, or provide documents in person whenever possible.

Be Cautious with Online Listings
If you are searching for a rental, confirm the property is really available. Avoid paying deposits in cash or wire transfers before you see the property in person. Only use formal lease agreements.

Real estate fraud is a growing problem, but you do not have to be an easy target. By staying alert, verifying instructions, and working with trusted professionals, you can keep your investment safe.

Do not leave your property at risk. At New Door Title, we take fraud prevention seriously and use highly secure(scripted) processes to protect every transaction. *Every wire information is fully verified with the source. Whether you are buying, selling, or simply monitoring your home’s title, our team is here to guide you every step of the way.