The Federal Bureau of Investigation (FBI) is warning the public about an identity theft scheme wherein criminals impersonate the owners of vacant property parcels and attempt to illegally sell the property parcels without the owner’s knowledge or consent.
The Scam
- Phase 1 Landowner Impersonation
- Criminals create fake identifications (drivers licenses and/or U.S. passports), Outlook email addresses, and Voice over Internet Protocol (VoIP) generated phone numbers and use them to impersonate landowners. Criminals can obtain property parcel owner’s personally identifiable information through county or state public websites, data brokers, stolen account information, phishing schemes, or purchased from the dark web or hackers.
- Phase 2 Contact with Realtors and Title Companies
- Criminals contact a local realtor and title company, pose as the property parcel owner, and draft property-related contracts to market and sell the vacant property parcels. In one instance, a fictious deed was used to further substantiate the impersonation and convince realtors of the validity of the sale.
- Phase 3 Payment
- The criminals request the money from the illegal sale of the property be sent to a co-conspirator attorney in a different state.
Tips to Identify the Scam
- Unusual Communication Methods The seller communicates only via email, text, or VoIP numbers and refuses to meet in person, often citing excuses such as illness, travel, or personal emergencies.
- Pressure to Close Quickly The seller insists on rushing the process and may offer to sell the property below market value to expedite the sale.
- Inconsistent or Missing Information The seller demonstrates limited knowledge about the property, lacks essential documents (e.g., surveys or tax information), or provides inconsistent details about the property.
- Suspicious Payment Requests The seller requests payment through an international wire transfer, a domestic wire transfer to an account under a different name, or to an account in a location unrelated to the property.
- Red Flags in Documentation Be cautious of property deeds notarized in a foreign country or other unusual documentation that may indicate fraudulent activity.
Tips to Protect Yourself
- Check if your County Recorder, Register of Deeds, County Appraisal District, or County Clerk’s Office offer notification services and send an automated email or text when a legal document is recorded using your name.
- Review your title insurance policy coverage and check for post-policy protection. Standard owners’ policies may provide protection against forgery and may cover the legal costs required to clear your title and restore rightful ownership.
- When purchasing, send a certified letter to the address of record on the land tax record to verify legitimacy of seller.
Report It
If you or someone you know has fallen victim to this impersonation scam, file a complaint with the Internet Crime Complaint Center (IC3) at www.ic3.gov. Be sure to include any available information including:
- Contact information, such as IP and email addresses, social media accounts, and phone numbers used to conduct the scheme;
- Bank account information used to receive the proceeds of the property parcel sale; and
- Details on tertiary individuals involved in the scheme such as attorneys, real estate brokers, marketing agents or employees who work in the financial sector that assist with banking or mortgage-related transactions.
