Safety in the CRE Community

• Require a Government-Issued Photo ID: Ensure the name and address match public records for the record property owner. Be cautious of IDs that are blurry, cropped, or barely legible.

• Require a Live, Face-to-Face, Video Chat with the Seller: Do not click any links sent by the seller for a video chat. Send your own link to make the connection, because some scammers use fake Zoom links to infect your computer. Once connected, make sure the person in the video chat matches the ID, but beware that some sophisticated scammers may be able to use AI to make their face match an ID, even if the ID is real (but stolen). Other scammers may just use a fraudulent ID that has their face on it with the real owner’s information. A seller’s refusal to speak live, on video, and using your Zoom link is a major red flag.

• Visit the Property in Person and Confirm the Seller Knows Details: Visit the seller’s property in person, and then ask the seller about details of the property to see if they know them. For example, if you ask the seller what they would like to do about an old shed on the property, but there is no shed because you made up that fact to test them, then a seller who assumes the shed is there is very likely a scammer. If the seller is instead confused or corrects you that there is no shed, then you know they may not be a scammer. Feel free to ask about large rocks, streams, or other land features instead to test the seller’s knowledge. If the seller is asking you to list property far away, that is also a major red flag because they likely do not want you to be able to easily visit the property.

• Cross-Check the Seller’s Identity Using Tools Like Forewarn: Forewarn can help identify whether the seller has any known association with the property, and whether the email address, phone number, and other contact information is consistent with the contact information of the legitimate owner.

• Independently Locate and Contact the Owner and Talk to Neighbors: Even if a Forewarn check comes back with no flags, and even if the seller has talked to you on a live video chat, use the information on the deed and tax records to contact the record owner, and be sure to contact neighbors. Do a Google and a social media search of the seller’s name, and see if the contact information you have been given matches the contact information from your independent searches. If the information does not match, you are likely speaking with a scammer and not the owner.

• Ask for Ownership Documents Only the True Owner Would Have: Ask for closing disclosures or settlement statements; utility bills; a copy of a property tax bill (preferably one recently paid, showing ownership and billing address); title insurance policies; original property surveys; prior listing agreements; and other documents only the seller would have.

• Be Wary of “Quick Cash Sale” Requests and Below-Market Prices: Many fake sellers push for an all-cash deal, a reduced price, and a fast closing to avoid scrutiny.

• Research Recent Sales and Withdrawals of the Same Property: If the parcel was recently listed, withdrawn, or sold, speak to the prior listing broker to see if a fraud attempt was previously made.

• Educate and Protect All Parties: Communicate clearly with buyers, closing attorneys, and your BIC about any concerns. Where appropriate, alert authorities such as the North Carolina Attorney General or FBI Internet Crime Complaint Center if fraud is suspected. Keeping notes, copies of correspondence, and screenshots of ID verification or property records may protect you if a dispute later arises.

• Coordinate Early with the Closing Attorney: As soon as a contract is signed, notify the closing attorney of any red flags or concerns. Title professionals may uncover issues through identity verification protocols, trust or estate complications, and prior title history.

• Other Red Flags to Watch For:
  -Seller claims they are traveling abroad or in a family emergency.
  -Pressure to close quickly and accept a lower-than-market offer.
  -Seller offers a bonus or incentive to ensure the transaction closes.
  -Communication is limited to email or text, with evasiveness around calls or video.
  -Seller wants a quick Due Diligence Fee or is unwilling to accept Earnest Money.
  -Seller’s email address or phone number is from another country.

The fake seller scam is becoming more sophisticated and increasingly targets both residential and commercial transactions. Never rely solely on documents or information the “seller” or a lead service provides. If red flags persist and identity cannot be confirmed, do not proceed with the listing and escalate the issue to your Broker-In-Charge. Brokers are strongly encouraged to discuss these best practices at office meetings and include fraud prevention as part of onboarding and ongoing agent training programs.

Release Date: 07/31/2025; Updated 4/20/2026

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