How To Stop Real Estate Escrow Fraud: Protecting Yourself from Scam Payments

The Expert Podcast

Episode Show Notes / Description:

• Warning about escrow fraud and verifying your escrow payments.
• Story of a Silicon Valley executive losing $400,000 to a scammer during a home purchase.
• Scammers hack into the email systems of real estate agents, home inspectors, mortgage companies, and title companies.
• They monitor transactions over the 30 to 45-day home-buying process.
• At the final stage, scammers send a fake email with fraudulent wire transfer instructions.
• The email appears legitimate, using real names, logos, and contact details from the ongoing transaction.
• The key difference is the banking information, sending your money to scammers overseas.
• Victims don’t realize they’ve been scammed until the real title company requests the payment.

How to Avoid Escrow Fraud:

• Solution: First, send a small amount ($10, $100, or $1,000) as a test.
• Verify with the title company in person that they received the test amount.
• Once confirmed, send the full payment using the same wiring information.
• Always get wire transfer instructions in person, not by email or phone.
• Even after receiving instructions in person, do a test transfer before sending large amounts.

Additional Tips:

• Real estate professionals should provide buyers with a checklist on how to protect themselves from escrow fraud.
• Encourage real estate agents, buyers, and sellers to adopt these preventative measures.

More Resources:

• Visit verifyescrow.com for detailed instructions and free resources.
• Share this link with anyone in the real estate industry to help them prevent losses from escrow fraud.

Need Personalized Help?

• Access live one-on-one consultations with experts, including licensed private investigators, commercial insurance brokers, real estate title examiners, civil court mediators, and building contractors.
• Get advice on your situation by visiting actualhuman.com for expert consultations.