We recently learned of a wire fraud scam affecting real estate agents and brokers. In the scam, a title or real estate agents’ email accounts are hacked and fraudulent wiring instructions are delivered to a buyer. The scam email instructs the buyer to wire the purchase proceeds to an account, which the parties later learn is fraudulent.
Several Realtor® Associations and title companies around the country have issued alerts about this type of scam. The Kansas City Association of REALTORS® advised that “These scammers have been particularly focusing on real estate agents with Gmail or Hotmail email accounts. It appears that the perpetrators have been hacking the email accounts looking for closing wiring instructions contained in the body of emails.” When they discover wire instructions in the accounts, the scammers notify the buyer and change the instructions for the wire.
We wanted to alert you about this scam so that you can take measures to ensure the security of your information to protect your company and your clients.
For more information on the wire-fraud scam, please refer to the following website links: