SEPT NIBJ: Just when you thought it was safe

It’s not an uncommon practice for Bonner County residents to leave their front door or their vehicle unlocked.

My perception is that we don’t overly worry about petty thievery, break and enters, or armed robberies, and there’s no place in any of our North Idaho communities that it isn’t safe to walk at night. (I hope I’m not being naïve). It seems to me that North Idaho is a safe place for those obvious types of crime. But one area of thriving growth in crime is real estate fraud, and with the internet having a global reach, we here are not immune from predation. Here are the current Top 10 real estate scams. Note that I use the word “current” because the criminal element is constantly coming up with new ways to defraud consumers.

The scams causing the most damage right now are increasingly AI-enabled. These activities focus on the funds being transferred in transactions, fake title swindles, and identity theft. FBI data shows real estate-related fraud losses exceeded $275 million in 2025, with wire fraud, seller impersonation, and deed fraud among the fastest-growing threats. Forget the infamous Nigerian prince emails, or the single amateur scammer working out of his basement: there is a sophisticated and massive industry with large prison-like camps in places like Myanmar, where thousands of forced laborers are trying 24/7 to perpetrate all manner of scams.

1. Wire transfer fraud. Criminals intercept transaction communications to send fake wiring instructions to buyers shortly before closing. Once funds are wired to the fake account, recovery is often impossible. 

Red flags:

• Last-minute wiring changes

• Urgent requests

• Different email domains or slightly misspelled addresses

2. Seller impersonation fFraud. Scammers pose as owners of vacant land, second homes, or mortgage-free properties, using forged IDs to list and sell property they don't own. AI-generated identification is making these scams more convincing. Target properties are most often out-of-state owned properties.

Red flags:

• Seller refuses video calls

• Seller only communicates via email or text

• Seller wants a quick sale below market value 

3. Deed theft / title fraud. Fraudsters forge deeds and transfer ownership records, sometimes using stolen identity information. They may then borrow against the property or attempt to sell it.  

Red flags:

• Unexpected title notifications

• Missing tax bills

• Unexplained liens

There are multiple companies offering protection for title theft, but I haven’t seen any instances of this type of fraud here, and I wonder if it is a phantom scare issue designed for a protection racket. My title company representatives advise me not to worry about this type of fraud, but even still, it’s on my list.

4. Business email compromise. Hackers gain access to an agent, lender, attorney, or title company's email account and monitor communications before launching a targeted fraud attempt. This is a very sophisticated program: they will know the name of your dog, family details etc. Scary stuff.

Red flags:

• Slightly altered email addresses

• Requests to bypass normal procedures

• Strange grammar from known contacts

5. AI deep-fake identity scams. Criminals use AI-generated videos, voices, and images to impersonate sellers, buyers, attorneys, or lenders during verification calls. Some fake sellers now pass standard visual ID checks.

Red flags:

• Odd video delays or unnatural movements

• Refusal to perform real-time verification actions

• Voice-only verification requests

6. Fake rental listings. Scammers advertise properties they don't own, collect deposits or application fees, then disappear. These scams frequently appear on social media and free listing sites.

Red flags:

• Rent dramatically below market

• Requests for deposits before tours

• Landlord claims to be overseas or travelling

7. Mortgage relief and foreclosure rescue scams. Fraudsters target distressed homeowners by promising loan modifications or foreclosure assistance in exchange for upfront fees or deed transfers.

Red flags:

• Guaranteed results

• Upfront payment requirements

• Requests to sign ownership documents

8. Real estate investment and Ponzi schemes. Fake syndications, crowdfunding deals, and investment opportunities promise unusually high returns; use new investor funds to pay earlier investors.

Red flags:

• Guaranteed returns

• Lack of transparency

• Pressure to invest immediately

9. Fake escrow or title companies. Criminals create convincing websites, email signatures, and documents that imitate legitimate settlement providers to redirect funds.

Red flags:

• Newly established websites

• Contacts that don't match official records

• Requests to use unfamiliar accounts

10. QR code ("quishing") scams. Fraudsters send QR codes that direct buyers or sellers to fake payment portals or credential-harvesting sites. ALTA and fraud investigators have specifically warned about this growing tactic.

Red flags:

• Unsolicited QR codes

• Payment requests through QR links

• QR codes in unexpected emails

So, what can the average home seller/buyer/owner do in the face of all this? The first rule is to be very protective of personal data, and do not provide this information to anyone you do not know to be credible. If it feels the least bit hinky, it is. Ask any Realtor, ask any title company if something smells fishy: there’s no charge and we deal with these issues all the time. A few more suggestions:

1. Always verify wire instructions verbally using a known phone number to someone you know and trust.

2. Require live video verification for remote sellers.

3. Be especially cautious with vacant land and absentee-owner listings.

4. Use secure transaction-management systems instead of email for sensitive information.

5. Stay vigilant about wire fraud and impersonation scams.

6. Confirm identity with multiple factors, not just a driver's license.

I did not write this article to increase the paranoia level we all live with these days, but awareness of these scams can prevent more serious situations.

Raphael Barta is an associate broker with an active practice in residential, vacant land, and commercial/investment properties. [email protected].