American Land Title Association Reports Increase in Seller Impersonation Fraud Attempts
The American Land Title Association reveals that seller impersonation fraud attempts are on the rise, with 28% of title companies encountering at least one such incident in 2023, according to their recent study. According to the study, seller impersonation fraud is often detected before the real estate closing is finalized. In 2023, 46% of companies reported that identifying and preventing fraudulent transactions prior to closing was somewhat common, while only 26% said the same for catching fraud after closing.
Common characteristics of seller impersonation fraud include notarization issues and the use of a property owner’s legitimate non-public personal information. The study found that fake notary credentials (43%) and the unauthorized use of real notary credentials (31%) were the most common notarization issues.
Vacant land was the most targeted property type in 2023, accounting for 85% of fraud cases. This was followed by vacation homes (37%), rental properties (37%), and agricultural land (23%).
Click here to read the full report at ALTA.