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Real estate transactions involve large sums of money, making them an attractive target for fraud. Scammers take advantage of buyers, sellers, and homeowners in many ways, from forging documents to misrepresenting property conditions. In some cases, fraud isn’t immediately obvious, leaving victims with financial losses and legal complications long after a deal is finalized. If something feels off during a transaction, trust your instincts. A single dishonest act can create long-term consequences, but legal action may help you recover losses and protect your rights.
Common Types of Real Estate Fraud
Real estate fraud can take many forms, affecting buyers, sellers, and property owners. While scams vary in complexity, they share one goal—deceiving someone for financial gain. Below are some of the most common schemes:
- Title fraud – A scammer uses forged documents to transfer property ownership without the rightful owner’s knowledge. In some cases, they take out loans against the property or attempt to sell it.
- Mortgage fraud – A borrower, lender, or broker provides false information to secure a mortgage or better loan terms. This can include inflating income, misrepresenting property value, or using stolen identities.
- Seller misrepresentation – Some sellers hide property defects, boundary disputes, or zoning violations to make a sale. Buyers may only discover these issues after closing.
- Foreclosure scams – Homeowners facing foreclosure are often targeted by fraudsters promising relief. In reality, these scams may strip them of ownership or trick them into making payments that don’t go toward their mortgage.
- Wire fraud – Cybercriminals hack into email accounts to send fake wiring instructions for closing funds, often stealing large amounts before anyone realizes what happened.
If you encounter any of these issues, you may be dealing with fraud.
Signs You May Be a Victim of Fraud
Real estate fraud often begins with small warning signs that may not seem suspicious at first. If you experience any of the following, it’s important to act quickly:
- Errors in property documents – Names, addresses, or financial details that don’t match official records could indicate forgery.
- Pressure to move forward quickly – If a seller, agent, or lender pushes you to sign paperwork without enough time to review it, they may be hiding something.
- Unexpected changes to wiring instructions – Last-minute emails directing you to send funds to a different account are often fraudulent.
- Refusal to provide documentation – If a party involved in the transaction avoids direct questions or won’t share records, they may have something to hide.
- Undisclosed liens or title problems – Finding unpaid taxes, liens, or conflicting ownership claims after closing is a major red flag.
If you notice any of these issues, seeking legal guidance can help protect your rights.
How an Attorney Can Help
Real estate fraud cases can be complicated and time-sensitive, making it important to have experienced legal support. At LaFountain & Wollman P.C., we are dedicated to helping clients who suspect they’ve been victims of fraud. We will carefully investigate the transaction to identify any fraudulent activity, whether it involves forged documents, misrepresentations, or hidden issues.
Our team will review contracts, titles, and financial documents to uncover discrepancies and irregularities. If necessary, we will communicate with other parties involved, such as title companies, real estate agents, and lenders, to gather additional information.
In cases where fraud is confirmed, we are prepared to take legal action to recover your losses. Whether it’s restoring property ownership, reclaiming stolen funds, or holding the responsible parties accountable, our goal is to protect your financial interests.
With a thorough understanding of real estate law, LaFountain & Wollman P.C. provides the legal guidance you need when dealing with fraud.
Protect Your Rights and Financial Interests
Real estate fraud can have lasting financial and legal consequences, but you don’t have to face it alone. Recognizing the signs early and seeking help can make all the difference in protecting your investment. At LaFountain & Wollman P.C., we are here to help you through these challenging situations. If you suspect fraud, contact us today to discuss how we can help you recover and secure your rights.