Deed Fraud in Real Estate: How Scammers Are Stealing Land—and What The Industry Needs To Do To Stop It

Fraudsters Picking the Wrong Target

Last week I received a call from an agent in my firm. She had a seller reach out to her from Zillow and ask her to help him sell a piece of land. She briefly spoke to the seller and decided that the property wasn’t in her area of service, so she called me. At this point in history, I am immediately suspicious of sellers reaching out to sell land, as land sale deed fraud has become pervasive. With that in mind, I reached out to the “seller” after first looking up the property. The “seller” engaged by email and text, and showed reluctance to chat by phone. Eventually, he did call me. I elected to use the call record option on my iPhone. I asked a series of general questions that most sellers would anticipate, and then a list of questions that only the actual seller could easily answer. The fraudster was unable to answer the latter half of the questions and suddenly had reception issues. He then started texting me. I told him that I would only list it if he met me at the property or at least by Zoom if he wasn’t in the area.

To be honest, it took all of three texts for my spidey-sense to be justified. For me, the rest of the engagement was evidence collection. Before I even spoke to the alledged seller, I looked up the property in tax records and found the owner’s name. I used Forewarn, which is provided by my REALTOR® association, to find any mobile numbers associated with the rightful owner. Of course, the number the “seller” was calling and texting from was not a match.

The property owner whom the fraudster was attempting to emulate has a very common name. After I finished engaging with the imposter, I called whom I believed to be the rightful owner to let them know they were being impersonated. As it turns out, the rightful owner and I knew each other from my prior career over 25 years ago. He recognized me before I recognized him, and we then spent the next hour catching up. He certainly wasn’t interested in selling the property, but told me he’d give me a call if he decided to.

Keep reading to learn what steps you can take to identify fraud and what questions you should be asking.

What Is Deed Fraud?

Deed fraud, also known as home title theft, occurs when someone illegally transfers ownership of a property without the rightful owner’s knowledge or consent. This often involves forging signatures on deeds, creating fake identification documents, or using impersonation tactics to deceive real estate professionals and buyers.

According to the American Land Title Association, these schemes typically involve impersonating the actual owner and recording fake or forged documents in local land records.

The FBI has reported a 500% increase in property theft, underscoring the need for industry-wide vigilance. [Read the FBI warning]

Why Land Is a Prime Target

• Lack of oversight: Owners often don’t monitor vacant land closely.
• Minimal due diligence: Land transactions typically involve fewer walk-throughs or inspections.
• High trust in agents: Scammers count on agents’ eagerness to list and sell, exploiting gaps in verification.
• Agent Technical Prowess: Real estate agents, for the most part, lack technological competency.

What Legislators Need to Do

Settlement firms have been able to catch some fraudsters, even sophisticated AI-powered ones. In Florida, a settlement firm was able to identify an imposter who was emulating an elderly woman on Zoom who had been missing for several years.

Some states have attempted to introduce bills requiring settlement firms to identify the seller in a meaningful way to ensure deeds aren’t transferred unlawfully. This is generally performative and doesn’t address the core issues. The Patriot Act already requires settlement firms to confirm the full legal name, date of birth, address, and obtain government-issued IDs during property transactions. But even without that requirement, a lot of damage has already been done by the time a fraudulent transaction reaches settlement.

The buyer, who trusted the listing agent’s representation, may have already invested in inspections, lost out on other opportunities, and incurred financial damages. I argue that real estate agents should carry a higher obligation for taking reasonable steps to prevent this type of crime—and reporting such crimes should be taken more seriously.

Here are a few recommendations for regulatory requirements:

• Duties of an Agent – ID: Agents should be required to get a copy of a government-issued ID from the seller.
• Duties of an Agent – Meeting: Agents should be required to meet with the seller in-person or virtually, with the seller on camera.
• Duties of an Agent – Verification: Agents should be obligated to take reasonable steps to ensure the seller has the right to sell. In Virginia, regulation 18 VAC 135-20-190 states that a property cannot be offered for sale without the owner’s consent. This implies a legal duty to verify ownership.
• Duties of an Agent – Reporting: Licensed real estate agents who suspect fraud should have a regulatory duty to report it to law enforcement.
• Duties of Local Government: Courts and land records offices should have a mechanism to flag properties under suspected fraud, so title researchers and settlement firms can apply additional scrutiny.
• Duty of Law Enforcement: In my experience, local law enforcement usually just takes an information report. Many of these crimes (but not all) are oversees and are perpetuated by crafty individuals with burner numbers and email addresses. However, some minimum duty to investigate these crimes should be required and the law enforcment agency should be required to provide written notice to the rightful owner of the property that a report has been filed. 

What Associations Need to Do

• Realtor associations provide great training opportunities, but many agents only attend mandatory education. Associations should work with states to make cybercrime training a required part of continuing education.
• Associations should also create a reporting database, ideally integrated with MLS or tax records, to flag properties involved in suspected fraud for additional review, upon reporting by a real estate agent.

What Agents Need to Do

A few basic best practices helped me uphold my obligation to protect the public as a licensee.

• Be reasonably suspicious of all sellers you don’t personally know—especially those contacting you online about vacant land.
• Look up the property in tax records before speaking with the seller.
• Use a system like Forewarn to cross-check names and numbers.
• Call the rightful owner’s number found through research before listing. There are a varity of ways that we can cross check names and numbers, even if you don’t have systems like Forewarn.
• Use a call recording app with AI transcription features, such as Apple’s or Android’s tools.
• Request and retain a copy of a government-issued ID.
• Meet the seller in person or via Zoom and record the meeting. Watch for anomalies that may suggest AI spoofing.
• If fraud is suspected, report to:
  • Local law enforcement
  • FBI Online Reporting
  • Your local Association/MLS
• While interviewing a potential seller, ask a series of standard questions, mixed in with some “gotcha” questions

  • “Can you tell me when and how you acquired this property?”

    • You’re looking for a reasonable timeline (inheritance, purchase, transfer) and a specific method (warranty deed, quitclaim, etc.). Real owners know this.

  • “Who is your title company or attorney who handled the purchase or closing?”

    • Most legitimate sellers can name their prior settlement agent—or at least give a ballpark answer. Fraudsters often deflect.

  • “Do you have a copy of the most recent property tax bill?”

    • Real owners usually receive them annually. Bonus: this also lets you cross-check mailing address and legal description.

  • “Is there an HOA or any restrictions on the land you’re aware of?”

    • True owners are familiar with at least the basics—zoning, easements, wetlands, utilities. Imposters often say “Nope, no idea” or avoid specifics.

  • “Has anyone else shown interest or made an offer on the land recently?”

    • This probes their engagement history. A legitimate owner might say, “I had someone ask about it two years ago.” A scammer? Radio silence or a weirdly rehearsed “No, not ever.”

  • “What side of the lot gets the most sun in the afternoon?”

    • Owners who’ve stood on their land will instinctively know. A scammer has likely never seen the property.

  • “Are the corners marked with rebar or stakes? Last time I checked, I thought I saw something near the back line.”

    • This bait question can trip them. A true owner might clarify (“Yes, there’s a pin marker at the northeast corner”) or correct you. A scammer often agrees vaguely or repeats your info back to you.

  • “What was the tax parcel number again? I didn’t write it down the last time you gave it to me.”

    • Even owners don’t usually know this off the top of their head, but a scammer might take the bait and invent one. If they do, compare it to public records.

  • “Has the land been used for hunting or activiteis? Are there trail cameras in place?”

    • This one is pretty obvious and a fraudster will stammer a bit at the unanticipated question

  • “When you spoke with [insert a fake local name here, like ‘Darla at zoning’], did they mention anything about setbacks?”

    • The fake name trap. If they say “Yes,” when that person doesn’t exist—or dodge with “I don’t remember”—you’ve likely got a fraudster.

Conclusion: Raising the Standard

Deed fraud isn’t just a legal risk—it’s a professional responsibility. If you’re listing a property, you better be sure the person hiring you is the true owner. With deepfakes, forged documents, and AI manipulation on the rise, real estate agents must become the first line of defense.

Protecting your clients means protecting your business—and your license.