Spring is one of the busiest times of year in real estate, and one of the busiest for wire fraud. As more people buy and sell homes, scammers are working overtime to intercept transactions. The results can be devastating, and recovery isn’t guaranteed.
How It Works
Real estate wire fraud typically begins with a scammer hacking into the email of someone connected to your transaction, your agent, title company or closing attorney. They monitor the deal quietly until the timing is right. Then, right before closing, they send new wiring instructions that appear to come from a trusted source. The money goes to them instead.
It can happen in minutes. By the time you realize something is wrong, it may be too late.
Warning Signs to Watch For
- You receive a last-minute email with updated wiring instructions.
- The sender’s email address looks slightly off, an extra letter or a different domain.
- The message creates urgency, asking you to wire funds immediately.
- Someone familiar suddenly has a different phone number or contact method.
What to Do Before You Wire Anything
Call to confirm every time. Before sending any funds, call your title company, lender or closing attorney directly using a number you already have on file. Do not use a phone number from the email with the updated instructions.
Treat any last-minute change as suspicious. Even small adjustments to wiring instructions near closing should raise a red flag. No legitimate closing will penalize you for taking a few extra minutes to verify.
If You Think You’ve Been Targeted
Act immediately. Contact your bank and report the incident to the FBI’s Internet Crime Complaint Center at IC3.gov. Speed matters. The faster you act, the better the chance of stopping the transfer.
Buying a home is one of the biggest financial decisions you’ll ever make. A little extra caution at closing can protect everything you’ve worked for.
If you have any questions or think you may be a victim of fraud, please contact us or visit your nearest F&M Bank office. We’re here to help.