Buyer Resource Center › The Home Buying Process › Don't Be a Victim of Real Estate Wire Fraud
Real estate wire fraud is one of the fastest growing scams in the country. Criminals hack or impersonate email accounts, then send buyers fake wiring instructions right before closing. Once the money is wired, it's often gone for good. The good news is that a few simple habits can protect you completely.
5 Ways to Protect Your Money
Know How the Scam Works
Scammers watch for real estate transactions, then send an email that looks like it's from your agent, escrow officer, or lender. It usually says the wiring instructions have changed, often with urgent language about a deadline.
Never Trust Wiring Instructions in an Email
Legitimate escrow companies almost never change wiring instructions by email. Treat any email about wiring money as suspicious, even if it looks exactly like it came from someone you know.
Always Call to Verify
Before you wire anything, call your escrow officer at a phone number you got independently, like from the escrow company's official website or your original paperwork. Never use a phone number from the email asking you to wire money.
Watch for Red Flags
Last minute changes, urgent pressure, slight misspellings in an email address, requests to keep things confidential, or instructions to wire to a different bank or a personal account are all warning signs.
Act Fast if Something Goes Wrong
If you think you've wired money to a scammer, call your bank immediately and ask them to recall the wire. Then contact your escrow company, file a report with the FBI at ic3.gov, and notify local law enforcement.
The bottom line: Wire fraud is preventable. Never trust wiring instructions sent by email, always call a verified phone number before sending money, and confirm the funds arrived. When in doubt, pause and ask. Your agent and escrow officer will always support you taking that extra step.
Frequently Asked Questions
What is real estate wire fraud?
It's a scam where criminals pose as your agent, escrow officer, or lender and send fake wiring instructions, hoping you'll send your closing funds to their account instead.
Would my escrow company ever change wiring instructions by email?
It's extremely rare. Treat any email that changes wiring instructions as suspicious, and always call your escrow officer at a verified phone number before sending money.
How do I verify wiring instructions?
Call your escrow officer using a phone number from their official website or your original paperwork, not one from an email. Confirm the details verbally before sending, and call again afterward to confirm receipt.
What should I do if I wired money to a scammer?
Call your bank right away and ask them to recall the wire. Then contact your escrow company, file a complaint with the FBI at ic3.gov, and notify local police.
Is there a safer way to send closing funds?
Ask your escrow company what payment methods they accept. Some allow cashier's checks or secure payment platforms. Whatever method you use, verify the instructions by phone first.
How can I protect myself if I'm deployed during closing?
Set up a plan with your agent, lender, and escrow company in advance, including how you'll verify instructions and who has authority to act for you. A properly prepared power of attorney may also help.
Keep Reading
From Contract to Closing
What happens between an accepted offer and getting your keys.
Read more ›4 FAQs About Closing
Who's there, what you sign, and what to bring on closing day.
Read more ›Understand the Differences Between Mortgage Providers
Banks, credit unions, brokers, and VA specialists compared.
Read more ›
Meet Your Veteran Realtor
Troy Doty, Principal Broker
Troy Doty is a Principal Broker with Northwest Realty Source in Portland, with 25 years in real estate and over 1,000 homes sold across the Portland metro and SW Washington. As a Marine Corps veteran, Troy has a true passion for helping Portland veterans and active duty military families buy and sell homes, whether you're PCSing in, transitioning out, buying your first home, investing in a duplex, triplex, or fourplex, or right sizing later in life.
Schedule a Call or Video Meeting ➜ More About Troy ➜ Free Veteran Buyer E-BookPrefer to call or email? 503.997.4169 · troy@nwrealtysource.com
Troy Doty, Principal Broker, Northwest Realty Source. Licensed in Oregon and Washington. ABR®, MRP, and SRES® are credentials of the National Association of REALTORS® and its affiliates. CIAS™ is a designation of U.S. Realty Training. Content adapted in part from ABR® consumer resources. This page is general information, not legal, tax, or lending advice.
