05/28/2026
This email came to me just a short time ago from a local broker. IT IS VERY IMPORTANT!! Please read.
I'm writing because I had a deeply troubling transaction this morning that highlights a growing and dangerous issue in our industry.
My seller was purchasing a home and was literally sitting at the closing table when the title company asked where the funds were. He explained that he had received wiring instructions last Friday, called the number provided, spoke with someone who sounded legitimate, and proceeded to wire the funds. It turns out the entire thing was a scam. Nearly $499,000 gone.
We all have our clients sign wire fraud disclosures, and yet this still happened. This is not the first time I've heard of situations like this, and with title companies and others having been hacked in the past, it reinforces my belief that we should be telling clients never to wire funds—whether it's $30 or half a million. They should obtain certified funds directly from their bank, payable to the title company, and hand-deliver them at closing.
My buyer handled the situation with unbelievable calm, but the rest of the day was spent with no home to move into and conversations with the FBI. The funds were wired last Friday, and because of the holiday weekend, no one realized anything was wrong until today.
The title company insisted there was no wrongdoing on their part. They pointed out that the scammer used an email ending in ".cam" instead of ".com" and that the person being impersonated was someone who handles earnest money. They even admitted this has happened before, which is why they encourage clients to call—yet my client did call the number provided.
Another red flag: I didn’t receive a settlement statement until noon yesterday.
My concern is simple: clients are losing life-changing amounts of money, and some people in the process act like this is normal. It absolutely is not. If this is happening frequently, we need to talk seriously about how to stop it.
