Real Estate Scams
06/11/2025
Real Estate Scams
The homebuying and selling process can move fast, especially in today’s market. However, it is important to remain alert. Many scammers try to capitalize on buyers’ and sellers’ stress and fatigue to defraud them of money or personal information. As scams get more sophisticated, you must be able to recognize the common real estate scams going around.
- Fake Buyer Scams
Not all scammers are looking to take your money, but something else just as valuable: your personal information. Fake buyer scams usually start through a text message or email. They will tell you they are a private buyer interested in purchasing your home. From there, they may offer to send you money or may ask for personal details “to close the deal.” In reality, they are stealing your personal information and likely tricking you into giving them access to your bank account. As with most unsolicited communications, it is best to ignore these messages altogether.
- “We Buy Homes” Scams
“We Buy Homes” scams rely on similar tactics but usually begin with you receiving a flyer in the mail. The flyer will usually claim to have a cash offer for your home or will offer a “rent to buy” situation. Most of the time, these flyers are sent by scammers. Usually, the contract requires you to sign the title to your property over to them, but you will remain responsible for mortgage payments. These scams are meant to exploit the property owner. Avoid these scams by throwing away the flyers. If you become interested in selling your home, contact a licensed real estate agent in your area.
- Wire Fraud
If you are a home buyer, these scams are aimed at you. The end of the home buying process is extremely stressful and fast-paced. Scammers try to take advantage of this by impersonating title agencies or escrow company employees. These communications will likely come from phone numbers or email addresses that have spoofed or closely mimicked legitimate title agencies. They will try to convince you that there was a paperwork mistake or error and try to redirect your down payment or closing fees to fraudulent accounts. Avoid these scams by always looking closely at communications, especially ones that claim the previously agreed arrangement had changed. Also, before sending any money, double-check with your real estate agent or title company at a trusted number.
- Deed Fraud
Unfortunately, you aren’t safe from scammers once the home buying process is complete. Title fraud is becoming an increasing problem. For this scam, criminals will forge documents to change the name on your home’s deed. Many people do not discover this has happened until they try to sell their homes. You must remain alert in order to avoid these scams. First, keep an eye on your mail and see if you start receiving mail with someone else’s name, but your address. Second, access your deed records through the local county recorder to confirm with them that no one has changed anything.
If you are looking to buy or sell a home, make sure you remain alert to avoid common real estate scams. Your lender or real estate agent can help you. If you would like to reach out to a mortgage lender at The Savings Bank, stop in or call 1-800-582-2265 today!
Sources:
https://bulletins.ncrec.gov/fake-seller-fake-buyer-scam-alerts/
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