FBI alerts property owners to seller impersonation fraud

The FBI warned owners of vacant properties about a fraud scheme in which criminals use fake driver’s licenses and other identifications to pose as legitimate owners and sell homes.

Criminals typically approach realtors or title companies while pretending to be the true owners. They communicate only via text, email, or VoIP numbers, according to the FBI. The study showed that seller impersonation fraud is often detected before real estate closings are completed.

Roughly six in 10 real estate experts said they saw instances of title fraud over the previous year. Only 12 percent of title fraud cases involved occupied properties. In title fraud, scammers attempt to illegally transfer ownership or deeds.

Arizona passed legislation requiring individuals who submit property deals in person to present valid photo identification. The bill was signed into law by Gov. Katie Hobbs in April.