I want to emphasize the importance of caution when handling vacant land listings. As you know, vacant land scams are a growing concern both in our market and nationwide. During our recent Town Hall, we discussed our Vacant Land Listing Fraud Prevention Checklist, and I’d like to share some additional insights.
Earlier this week, one of our sister companies reported a troubling incident involving a criminal who used AI-generated video, fake IDs, and social engineering to impersonate an out-of-area seller. They nearly succeeded in their scheme, but thankfully, the title company noticed something was amiss during the Zoom closing.
As we navigate vacant land transactions, please remain vigilant. Scammers are becoming increasingly sophisticated, utilizing advanced technologies to perpetrate their schemes. Always take the time to ask questions, proceed with caution, and consult with your managing broker before moving forward.
To help protect ourselves from potential fraud, please follow these best practices:
- Meet Face-to-Face: If you receive a call from an unknown person, suggest a video conference for an introduction. This can deter fraudsters who prefer to remain anonymous.
- Verify Tax Records: Collaborate with a trusted title company like Fort Dearborn to check tax records for taxpayer information. Consider reaching out directly to the taxpayer by phone or mail to confirm the legitimacy of the listing request.
- Use the Attached Letter Template: We’ve included a template you can use to notify the taxpayer.
- Request Identification: Be cautious, as fraudsters often use fake IDs and forged documents. Always verify identities carefully.
- Out-of-Area Referrals: Be wary of claims that someone was referred to you by a broker from outside the area. This tactic is often used to justify unsolicited calls.
- Former Client Referrals: If someone claims to be referred by a past client, always contact the referral source to verify their legitimacy.
- Utilize Trusted Title Companies: Ensure you work with reputable title companies like Fort Dearborn for coordinating the exchange of closing documents and funds.
- Ask Questions: If you’re representing a buyer of vacant land, make sure the listing agent has met the seller in person.
Stay safe out there!
Orginal email credit: Michelle Feola