Wire and land fraud in the real estate industry has become an increasing problem in Idaho and across the United States. As a title company, we act as a third party, helping protect buyers and sellers from becoming victims of fraud. We want to take this opportunity to educate our clients about the dangers of wire and land fraud and how to avoid it.
In 2022 cybercrime was at an all-time high; every 39 seconds, instances of cybercrime were reported, resulting in over $10 billion in losses. These crimes affect people of all ages and can be disguised as anything from a real estate transaction to a phone call.
Wire fraud is a type of scam that uses the wiring of funds to steal money from unsuspecting victims. It typically involves criminals who pose as real estate agents, lenders, or even title companies. They will use fake documents or emails, usually containing false wire instructions, to convince buyers to wire funds to them. The criminals then keep the money, leaving buyers with nothing to show for their investment.
Land fraud is another scam that is alarmingly increasing. It typically involves criminals posing as sellers looking for vacant or non-owner-occupied land. They then impersonate the owner to steal proceeds from the buyer.
We take preventing wire and land fraud very seriously and work hard to ensure that all documents are verified and that all parties involved in every transaction are legitimate. We also require our clients to pay for title insurance, which can protect them from any losses caused by fraudulent activity.
In addition to these measures, we recommend that our clients take extra precautions when buying or selling real estate. They should always ensure all documents are authentic and only wire funds after calling to verify the wire instructions. If you feel you may be a wire or land scam victim, please immediately contact your bank, real estate agent, and escrow officer. ###
