Real estate transactions involve a lot of moving parts, and fraud attempts often appear when payment instructions change, seller details seem unclear or a deal feels rushed. Knowing what to verify before you send money can help you protect your funds and move forward with more confidence.
How to verify closing wire instructions
Mortgage wire fraud often involves fake or changed wiring instructions sent by email, text or phone. Since wire transfers can be difficult to reverse, confirm payment instructions through a trusted contact before sending funds.
What to watch for
- Changed or urgent payment instructions: Pause before sending funds if wiring details change or the request asks you to act quickly.
- Unfamiliar bank or account details: Confirm the recipient’s name, bank name and account information before sending money.
- Unexpected timing: Be extra careful with payment changes sent close to closing, after hours or over a weekend.
- Unexpected links or attachments: Verify the message before opening attachments or selecting links.
- Email inconsistencies: Look for misspellings, personal email addresses, unfamiliar names or slight changes to known email addresses.
How can you help prevent mortgage wire fraud?
- Ask about the wire process early. Before closing, ask your real estate agent, title company or settlement team how wire instructions will be shared and what secure channels they use.
- Verify the sender. Compare the email address, phone number or contact details with information from your signed documents or the company’s official website.
- Call using a trusted number. Confirm wire instructions by phone using a number you already know is legitimate. Avoid calling numbers included in an unverified message.
How to identify fake property deals
Fake property deals may involve listings, sellers or investment opportunities that misrepresent ownership, availability, fees or expected returns. These offers often move quickly and ask for money before key details are verified.
- Timeshares with hidden fees or limited availability
- Vacation condos or investment properties offered at unusually low prices or with pressure to buy sight-unseen
- Undeveloped land with unclear ownership or limited public records
- Rental properties that aren’t actually for rent or don’t exist at all
How can you check if a property deal is legitimate?
- Research the seller or company. Look for the business name, reviews, licensing information and complaint history through trusted sources.
- Verify property ownership. Ask for documentation and compare it with public records or information from a local county recorder’s office.
- Review the offer carefully. Extremely low prices, guaranteed returns or pressure to buy quickly can be signs that more verification is needed.
- See the property in real time. If you cannot visit in person, request a live virtual walkthrough instead of relying only on photos or prerecorded video.
- Use secure payment methods. Avoid paying upfront fees by wire, cryptocurrency or gift card. Legitimate real estate transactions should use traceable, regulated payment channels.
Quick answers about mortgage wire fraud and fake property deals
What is mortgage wire fraud?
Mortgage wire fraud happens when someone sends fake or changed payment instructions during a real estate transaction to redirect closing funds.
What should I do if wire instructions change before closing?
Pause before sending money and contact your real estate agent, title company or settlement team using a trusted phone number from signed documents or another verified source.
