The request can look completely legitimate: an email with your lender’s logo, your settlement company’s name, and wiring instructions that appear to match your transaction. That is exactly why wire fraud is one of the most serious risks in a home purchase or sale. This real estate wire fraud guide explains how to recognize the warning signs, verify every instruction, and protect the money you have worked hard to save.
For buyers in Maryland and Delaware, the risk often peaks during the final days before closing, when deposits, down payments, and closing costs are moving quickly. Sellers can be targeted, too, especially when it is time to send sale proceeds. A little caution at the right moment can prevent a devastating loss.
What Real Estate Wire Fraud Looks Like
Real estate wire fraud usually starts with a criminal gaining access to, or closely imitating, an email account involved in the transaction. They may pose as your real estate agent, lender, title company, attorney, or settlement officer. Then they send wiring instructions directing funds to an account they control.
These messages are often convincing. A scammer may know the property address, the names of the people involved, the expected closing date, and the approximate amount you need to send. They may even use an email address that differs from the real one by just a letter, a hyphen, or a slightly altered domain name.
The goal is urgency. You may be told the closing cannot happen unless you wire funds immediately, or that the settlement company has changed banks at the last minute. Legitimate professionals understand that protecting your funds comes first. No valid instruction should pressure you to skip verification.
Real Estate Wire Fraud Guide: The Rule That Protects You
Never trust emailed wiring instructions without independently confirming them by phone.
That means calling a phone number you already know is legitimate, such as the number provided at the start of your transaction, printed on official documents, or listed on the settlement company’s verified website. Do not call the number included in the suspicious email, even if the message looks authentic.
Ask the settlement officer to confirm the bank name, account name, routing number, account number, and the amount you are expected to send. Read the details back carefully. If any detail has changed from earlier instructions, pause and verify the reason directly with your settlement team.
This step may feel repetitive, particularly when you are balancing inspections, moving plans, lender requests, and a closing deadline. It is still worth taking five extra minutes. Once a wire is sent, it can be very difficult to recover.
Know the Warning Signs
A single red flag does not always mean fraud, but several together should make you stop and verify. Be especially cautious when you see:
- A last-minute change to wiring instructions or a request to send money to a different bank account.
- An email address with a misspelled name, extra character, unfamiliar domain, or unusual formatting.
- Pressure to act immediately, keep the request confidential, or avoid calling anyone.
- Writing that feels out of character, including odd grammar, generic greetings, or unexpected urgency.
Fraudulent messages can arrive from what appears to be a real email thread. If an account has been compromised, a scammer may reply within an existing conversation. The fact that an email includes your address or transaction details is not proof that it is safe.
How Buyers Can Protect Their Closing Funds
Start the conversation about wire security early. Ask your lender and settlement company how and when they will provide wire instructions. Find out whether they expect a wire, a cashier’s check, or another approved payment method. The answer can depend on the amount due, the settlement company’s procedures, and the timing of closing.
Save verified contact information for your agent, lender, and settlement officer in your phone. If a message raises even a small concern, use those saved numbers to confirm it. Do not reply to the message and assume the response will reach the real person.
Before initiating a wire, call your bank as well. Ask what information it needs, whether it can place additional verification on the transaction, and what to do if you suspect fraud after submitting a request. Some banks have cut-off times for wires, so handling this ahead of closing can reduce last-minute stress.
When you receive final figures, compare the amount to your Closing Disclosure or other settlement documents. Small adjustments can occur, but a major or unexplained change deserves a direct conversation. Your settlement officer should be able to explain every number in plain language.
If you are purchasing an Ocean City condo, a Salisbury home, or a second property along the Eastern Shore from out of town, be extra careful about remote communication. Distance makes it tempting to handle everything by email. A phone call or secure conversation with the verified settlement office matters even more when you cannot walk into the office yourself.
Sellers Need Protection, Too
Wire fraud is not just a buyer problem. Sellers may receive fake instructions that appear to come from the settlement company and ask them to confirm bank details for their proceeds. A criminal may also impersonate a seller and send false wiring details to the settlement office.
If you are selling, confirm early how proceeds will be delivered and who will contact you about those details. Use a verified phone number to confirm any request involving bank information. If you change accounts before closing, communicate that change directly with the settlement company through its established procedures, not by a quick email alone.
It also helps to limit who has access to your transaction documents. Avoid forwarding closing paperwork to unnecessary recipients, and be thoughtful about sending documents over unsecured public Wi-Fi. Secure passwords and multi-factor authentication on your email account add another layer of protection.
What to Do If You Sent a Wire to the Wrong Account
Act immediately. Time matters more than embarrassment, and you should not wait to see whether the transfer goes through.
First, call your bank’s fraud department and ask it to recall or freeze the wire. Then contact the receiving bank if your bank provides that information. Notify your settlement officer, lender, and real estate agent using verified contact information so they can help document what happened and protect the transaction.
Report the incident to local law enforcement and the appropriate federal fraud-reporting channels. Keep copies of the fraudulent email, wire confirmation, account details, and notes from every phone call. Recovery is never guaranteed, but fast reporting gives law enforcement and the banks the best possible chance to act.
Do not let a fraud attempt make you feel isolated or ashamed. These criminals are skilled at creating pressure and impersonating trusted professionals. The right response is quick action, clear communication, and careful documentation.
A Safer Closing Starts With Clear Communication
A good transaction team should make it easy to ask questions. You should know who is handling your settlement, how funds will be delivered, and which phone number to call before you ever receive a wire request. If something feels off, trust that instinct and pause.
At Every Dream Has An Address, we believe clear communication is part of protecting our clients, not an extra step. Whether you are buying your first home, selling a longtime family property, or investing in a coastal getaway, you deserve a team that treats your financial security with care.
Before closing day, save your verified contacts, ask about the payment process, and make a personal commitment: no wire goes out until you confirm the instructions by phone. That small habit can help keep your next move focused on the excitement of getting the keys.
