by Marcus Thomas 
Scams are on the rise, and this includes real estate scams. According to the FBI’s Internet Crime Complaint Center (IC3), business email compromise (BEC) schemes frequently target the real estate sector. In fact, the IC3 received 9,521 real estate-based complaints in 2023. That may not seem like a significant number; however, in terms of losses, these crimes amounted to $145,243,348
The first half of the year, and particularly the period between March and June, is the most popular time for buying and selling real estate. Similar to other big buying seasons, like the holidays, scammers will look to take advantage of this busy season to scam prospective buyers, sellers, and current homeowners out of their hard-earned money and personal information.
Fake Rental Scams: Sometimes, scammers will list properties to rent or sell on a reputable website or app. They’ll convince victims to send a deposit directly, bypassing the legitimate website or app. However, if you do so, you’ll lose money and any support and recourse offered by a legitimate platform. Do an image search of the listing to see if other ads come up for the same address with a different owner or rental information.
Home Warranty Scams: If you get a letter (or email) claiming your home warranty may be expiring or has already expired, investigate to see if it’s legitimate or not. Scammers will use real company names to make it look convincing, but don’t be fooled.
Cleaning/Lawn Service Scams: Whether you’re thinking about spring cleaning or landscaping, be wary of fake ads on social media for either in-home cleaning or landscaping services. You’ll try to check out, but the only option is to use a digital payment platform, and when it’s time for the cleaning service to begin, the scammers never show up. Kingsley says. He recommends researching the service provider and looking at their reviews. And only pay after the service has been provided.
Red Flags/What to Avoid:
Don’t Be Fooled In A Fake Sense of Urgency: Scammers will attempt to manipulate you emotionally and financially to get access to your information and money. If it sounds scary, urgent, and imminent, stop to think, take a pause before you respond, and delete or ignore if in doubt, while you research if it’s legitimate.
If it’s Too Good to be True, It Probably Is: We all love a deal but be cautious of merchandise or services being offered online and at significant discount. I recommend reading reviews, checking references, and ensuring that the company has the necessary licenses and insurance before hiring them.
Look for Mistakes: Mistakes can often be a clue that you’re dealing with a scammer. A misspelled email address can be a sign that it’s a spoofed account, so you should always be on the lookout for erroneously information by phony senders and accounts. Hesitate before clicking any links and report suspicious messages or emails.
Work With Trusted Professionals: It’s important to work with trusted professionals to guide you through the homebuying and selling process. An experienced real estate agent and home lending advisor can help you understand the steps to applying for a mortgage, putting in an offer on a home, making your first payments properly and safely, and avoiding scams.
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