09/26/2017
PSI: Everyone needs to be aware of a scam going on in real estate. It's easy to prevent the problem. However, if precautions aren't taken, it can be devastating. As an agent, security of your personal information is VERY important to me. I've heard of multiple cases of this happening to home buyers AND sellers where money wires to/from the closing attorney are swiped by scammers, taking THOUSANDS of your dollars. PLEASE watch and learn the precautions.
In this age of technology, making it easier for us to do more, faster...it's also helping the scammer. BEFORE you ever send wiring instructions, PLEASE do so over the phone or in person--NEVER by email! The solution is easy--just pick up the phone or make a face to face appointment. We all work so hard for our money, but we also have to protect it.
I listened about a case in my continuing education class where a seller and his agent were in Starbucks. They sent an email over the Starbucks WIFI (first mistake) to the closing attorney with the seller's wiring instructions (second mistake) so the attorney could wire the seller's proceeds from closing to his bank account. This happens all the time. A nearby scammer interceded the email chain BEFORE the email reached the attorney, changed out the wiring routing numbers to HIS bank account and forwarded the email onward to the attorney, all looking as it came from the agent/seller. A day or two after closing the attorney gets a call from the seller, "Mr. Attorney, where's my closing proceeds?" The attorney was able to provide and verify the time stamped wire transaction to the account numbers sent to him via email. After research, the seller's numbers and the wiring instructions the email contained, of course did not match up. By this time, the wire had been completed and the scammer made out with over $100k. It can happen to anyone, but taking precautions will save you SO MUCH heartache!
Please pass this along!
Over the course of seven years, a local couple saved tens of thousands of dollars for a down payment on their first home -- then, scammers took their money.