Real Estate Seller Impersonation Fraud Attempts Double

Scammers are increasingly attempting to sell properties they do not own, a fraudulent scheme that has seen a significant rise in prevalence. According to a survey released on Monday by the American Land Title Association (ALTA), 59% of title firms reported encountering at least one instance of seller impersonation fraud in the preceding calendar year. This figure represents more than a doubling from the 28% of firms that reported similar encounters in ALTA's 2024 survey. The trend indicates a growing sophistication and boldness among criminals operating in the real estate sector. Further highlighting the escalation, nearly one in four respondents (23%) to the ALTA survey indicated they had encountered three or more such fraud attempts in the month prior to the survey's administration. This is a substantial increase from just 4% of firms reporting three or more attempts two years earlier, underscoring the accelerating nature of this criminal activity. The Federal Bureau of Investigation (FBI) has also issued warnings about a related form of property fraud that is on the rise. In April 2025, the FBI's Boston division noted a "steady increase" in reports concerning quitclaim deed fraud. These cases often involve property owners being completely unaware that their property has been sold or is in the process of being sold without their consent or knowledge. The ALTA findings provide a more detailed insight into the methods employed by these fraudsters, including how they identify potential targets, impersonate legitimate property owners, and attempt to convert someone else's real estate assets into illicit cash. Seller impersonation fraud specifically occurs when a criminal assumes the identity of a property owner to illegally sell the property. ALTA explains that these fraudsters may utilize the actual owner's personal identifying information and even employ legitimate notary credentials, often without the notary's awareness or consent. The process of identifying suitable properties for such scams can be surprisingly straightforward. Howard Jacobson, a real estate lawyer, investor, and developer, commented that "Most property records are online and can be queried in systematic ways." This accessibility of public records is a key enabler for these fraudulent activities. Similarly, the FBI has cautioned that scammers actively search public property records to identify vacant land and properties that are free of mortgages or other liens. Once such properties are identified, the scammers can then impersonate the owner and approach real estate agents to list the property for sale. In some instances, the legitimate property owner only discovers the fraudulent sale after the transaction has been completed, leaving them to deal with the complex aftermath of the crime. The core of this fraud lies in the criminal's ability to convincingly impersonate the property owner and exploit the existing systems for real estate transactions.