Most real estate transactions are very significant financially. They take time, thought and effort to commit to. Due to the fact they are so important, there is some risk. All of this means that it is important to be cautious and to avoid real estate scams. Recently, according to Florida Realtors, Utah’s Department of Commerce released a statement on behalf of the Utah Division of Real Estate alerting and cautioning realtors and buyers of hackers. Last fall, the National Association of Realtors warned members of an e-mail scam that comes near the close of a deal.
“All parties in a real estate transaction should be wary of email communication especially if last minute changes are requested,” says Jonathan Stewart, head of Utah’s real estate division, in a statement. “If criminals have access to your e-mail account, they can make anything sound legitimate.”
There are things real estate professionals can do to help buyers and themselves avoid these scams. The state’s Department of Commerce provided several tips for real estate agents:
- Inform clients from day one about your e-mail and communication practices, and alert them to the possibility of fraudulent activity.
- Before wiring any funds, the wirer should contact the intended recipient via a verified telephone number and confirm that the wiring information is accurate.
- Use encrypted e-mail if a situation arises in which the client has no choice but to send information about a transaction via e-mail.
- Clean out your e-mail account on a regular basis. Over time, multiple e-mails can establish business practice patterns that hackers can use against you.
- Encourage clients to change usernames and passwords regularly.
- Use the most up-to-date firewall and anti-virus technologies in your realty business.
Fortunately these tips exist and being conscientious and careful always helps. Real estate scams can be avoided with the correct awareness. If you feel that you may have received a scam e-mail, do not risk anything and pick up the phone. At RE/MAX Paradise, our agents priority is our clients, and we are happy to discuss other precautions to take against real estate scams.