Wire Fraud Prevention: Protecting Your Funds During a Real Estate Closing

Real estate transactions move large sums of money, and that makes them a target. Wire fraud is now one of the most common — and most costly — threats in a closing. Here's how to keep your funds safe.

How the Scam Works

Fraudsters compromise email accounts — sometimes the agent's, sometimes the title company's — and monitor a closing in progress. Days before closing, they send an email that looks legitimate, with "updated" wire instructions. The funds are wired to a fraudulent account and often gone within hours.

Verify Every Instruction, Every Time

Never wire funds based on an email alone. Call your settlement agent at a number you already have — not one listed in the email — and confirm the instructions verbally. A legitimate title company expects this and welcomes it.

Use Secure Channels

Prefer encrypted portals or established payment platforms over email. Be suspicious of last-minute changes to account numbers or a sudden switch from check to wire.

Watch the Warning Signs

• Pressure to act immediately
• A reply-to address that's slightly off
• Instructions that differ from your closing disclosure
• A shift in tone or formatting from prior communications

What to Do If Something Looks Wrong

Stop. Do not send the funds. Contact your settlement agent directly and report the suspicious message. Speed matters — if funds are sent, the window to recover them is measured in hours.

We confirm wire instructions with every client personally, and we never send account changes by email alone. Your closing should be secure, not stressful.