Don’t think seller impersonation fraud is a big deal? Read this story!

You’ve heard us talk about seller impersonation fraud, but this recent first-hand account from an experienced Iowa Realtor named Adam Pretorius should give us all pause. After all, this fake seller’s scam is affecting properties and real estate transactions nationwide.

The Birthright Title team appreciates when people like Adam share their stories – simply because it proves that any of us can be targets of fraud. As we’ve said before, seller impersonation is exactly what it sounds like. A scammer finds a paid-off property, often a vacant lot, some farmland or second home, and tries to get an agent to list it. They then push for a quick sale before anyone notices they are not the actual owner of the property they are trying to unload.

Here’s what happened.

This story started innocently enough. A seller contacted Adam, the agent in this case, wanting to list a vacant lot for $200,000. It had a high price tag because it was in a developed area, or at least that’s what it seemed. The lot had previously been listed with another agent, but no sale happened. Public records even confirmed that the actual owner lived out of state and worked in the medical field, matching what Adam was told by the scammer.

Adam moved forward. He even sent a market analysis, listed the property and spent about $1,000 in marketing to list the property, but then he got a phone call. The legitimate owner on the line stated that the property wasn’t up for sale. In fact, the real owner claimed this property had been listed by scammers at least two times before this.

Adam thought he was vigilant regarding these scams and all the others that we face every day, but the ordeal was certainly humbling. But now he hopes that by sharing his story, more people will realize the scam can just as easily fall for them – no matter how prepared or aware about fraud you think you are.

Lesson learned

Since the incident, Adams has changed his process. He requires at least three forms of verification when working with sellers he can’t meet face-to-face. One of those must be a government-issued ID such as a driver’s license or passport.

His experience underscores several red flags that Realtors should watch for:

• Out-of-state owners with little personal connection to the property.
• Sellers who avoid video calls or in-person meetings.
• Unregistered or unlisted phone numbers that can’t be verified.
• Pressure to move quickly, especially with cash-only deals.
• Properties that have been repeatedly listed and canceled.

Here’s our main takeaway from Adam’s story – and similar incidents across the country and here at home in Tennessee. Seller fraud continues to plague us all. A scammer can fool anyone – that’s why we’re all in this fight against fraud together.

To any of our customers and partners, if you have any doubts someone may not be who they say they are, please let us know. Birthright Title offers tools and resources for verification and consistently works hard to ensure that all issues leading up to your settlement are resolved. Reach out to one of our teams anytime.