In honor of my Caught Dead in Wyoming mystery series, my assistant Gabriella Samuels is writing for my newsletter and blog a series of consumer tips inspired by TV reporter Elizabeth Margaret Danniher.
Today, fake listings, fake websites, stolen data, and deposit fees are common issues when searching for a new home or apartment. Real estate scams are more frequent and devious than ever before. In 2024, the FBI’s annual report showed that real estate scams caused over $173 million in losses. This has become a growing concern for the FBI.
In real estate scams, scammers fabricate listings using details from legitimate ones as well as impersonate real estate agents. By requesting a deposit or holding fee and directing victims to a false real estate website, they steal money and personal information like bank details and Social Security numbers.
This has also become a problem for legitimate real estate agents. Criminals pretend to be licensed real estate agents or property managers. To seem real, they use fake websites or social media, stealing names and license numbers of legitimate real estate agents. Victims do not know that they never spoke to an actual agent. Legitimate agents face negative reviews and ruined reputations. NBC did a report about this issue, so check it out here.
This is a serious and scary scam, but here are some tips to help:
- Verify emails and calls by checking details you know are real. Avoid using the contact info given in suspicious emails or texts.
- Avoid wiring money or sharing sensitive data quickly and be wary of sudden requests to wire funds or provide private/financial info. Always confirm the request is legitimate.
- Do not email financial information.
- Research thoroughly by searching for the company, agent, and other involved professionals online using keywords such as “review,” “scam,” or “complaint.”
- Verify agents on the state’s licensing board website. You can also check the National Association of Realtors when looking for an agent.
- Before you proceed with a listing, try to meet the agent or property manager in person at their office.
- Be wary of prices that seem too good to be true. Scammers frequently use pressure to get you to act without thinking.
As always, report scams to the FTC. Stay safe.