FRAUD ALERT - Remain Vigilant While Handling Vacant Land Transactions

ATGF has become aware of a new fraudulent scam that has quickly become more prevalent.

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If you are handling a "vacant land" real estate transaction, ensure your agency remains vigilant and wary of possible risks.

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Process

The fraudster will locate property, impersonate the owner, and list the property for sale (typically as FSBO) on various real estate syndication websites, looking for a buyer who wants a quick close.

The "seller" communicates primarily via text or email and usually requires a mail-out closing. The "seller" signs the deed and has it notarized; it is not clear whether the "seller" is using a fraudulent notary or whether they are presenting false identification to a legitimate notary. The fraudster will sometimes use the listing to connect with a trusted buyer's broker before going under contract, which gives the transaction an additional air of legitimacy.

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As a reminder these scams involve:

• Vacant Land that is being sold by non-owners. The fraudsters are looking for land that is free and clear
  

• Typically want a cash transaction and a quick close
  

• The seller states they are out of state and had a notary in that state notarize document
  

• Seller communicates by text or email
  

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Please be aware that these folks are difficult to identify.  If you identify FSBO opportunities matching the foregoing profile, parties should take additional steps to identify ownership.

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If you suspect that you are a victim or see suspicious activity, please contact your local authorities.