Your buyer is days from closing and the excitement is high. They get an email that looks like it’s from the title company, complete with official logos and familiar names, telling them the wiring instructions have changed. They follow the directions. They wire the funds. And then… the money’s gone.
This isn’t a rare scenario; it’s happening every day across the country. According to the 2025 State of Wire Fraud Report by CertifID, 1 in 20 consumers involved in real estate transactions have fallen victim to a wire fraud scam. And first-time buyers are three times more likely to be targeted.
Why Wire Fraud Is So Prevalent in 2025
Scammers are getting more creative and more convincing. They’re using email spoofing, fake websites, text message phishing, and even AI-generated voice messages that mimic the voices of agents and escrow officers.
They insert themselves into the transaction quietly, monitor communication threads, and strike at the right moment, usually when large amounts of money are about to be transferred. Here's what makes real estate a common target for scammers:
- It’s public. Listing data and timelines are accessible online.
- It’s complex. Multiple people are involved: buyers, sellers, agents, lenders, title companies.
- It’s digital. Email and text communication dominate the process.
- It’s urgent. Deadlines are tight, and people act quickly.
- It’s expensive. Down payments and closing costs often total tens, or hundreds, of thousands of dollars.
All of that creates the perfect environment for wire fraud to thrive.
First-Time Buyers Are the Most Vulnerable to Fraud
While any buyer or seller can fall victim, first-time home buyers are especially at risk. Their lack of experience means they’re often unaware of standard procedures and more likely to trust what looks like a legitimate message.
“When you’re a first-time home buyer, everything's new,” says Tom Cronkright II, co-founder of CertifID. “You have multiple parties in a transaction—more than you'd have in any other high-ticket purchase. And you're often communicating by text and email. So, you have an infrequent transaction, multiple parties and very large sums of money being transferred. That’s a dangerous mix.”
And while awareness is improving, CertifID reports that about half of buyers now know about wire fraud risks, which still means the other half are in the dark.
What Can Real Estate Agents Do to Prevent Wire Fraud?
Agents are on the front lines of this issue, and buyers are looking to you for guidance. In fact, 35% of buyers say they expect their agent to educate them about wire fraud. Even more compelling: 80% say they’d choose an agent who prioritizes their security, even if it means paying more.
Here’s how to lead the charge in protecting your clients:
1. Talk About It Up Front
Don’t wait until closing week to bring up wire fraud. Introduce the topic in your very first meeting. Include wire fraud warnings in buyer packets. If your local association offers a wire fraud disclosure form, make it part of your standard process.
2. Explain the Flow of Funds
Many buyers don’t know what earnest money is, when it’s due, or how it’s transferred. Walk them through the timeline, from earnest money to final closing funds, and explain exactly how and where the money will be sent. Make it clear that wiring instructions should never change.
3. Encourage the Triple Check Rule
Tell clients to always verify wiring instructions in three ways:
- Through a secure portal or encrypted email
- By calling a trusted contact using a known number (not one found in an email)
- By confirming verbally with someone they’ve already spoken to in person
If anything feels “off,” they should stop and reach out immediately.
4. Use Trusted Partners
Only work with lenders, title companies, and attorneys who use secure systems and encrypted communications. Encourage clients to avoid sending sensitive info over unencrypted email or text whenever possible.
5. Team Up Against Scammers
Wire fraud prevention shouldn’t fall on one party. Encourage a unified front with your lender and title partners to educate and protect every client. Share updates, prevention tips, and resources with your clients consistently. Check out www.stopwirefraud.org for helpful resources and information for your clients.
How to Report Real Estate Wire Fraud
If your client suspects they’ve been targeted or have fallen victim to a scam, time is critical. The faster fraud is reported, the better the chances of recovering funds. You and your clients can report wire fraud at IC3.gov
Wire fraud is now one of the biggest threats in real estate, and scammers are getting better at it by the day. Your clients are counting on you to help them make smart, informed decisions. So, make security part of your value proposition. The protection you offer could make all the difference between your clients landing their dream home or losing it all in one click.
