
Join us March 12th for the Tri-County Escrow Dinner

By Lisa A. Tyler
National Escrow Administrator
Real estate scams are on the rise. Property owners of vacant lots or homes which are not their primary residence are the targets. The scheme works like this, a fraudster identifies a property by looking for vacant lots or non-owner-occupied homes (that are usually vacant).
The home is listed for sale on a popular website or a real estate agent is contacted to list the property for sale or an application for a loan is made in the owner’s name. The property is either listed below market value to ensure a fast sale, or the imposter obtains a loan and absconds with the loan proceeds. The tips in this newsletter are intended to be shared. Forward the article titled “PROPERTY owners beware!” to real estate agents, property owners and buyers.
Consumers are receiving overnight deliveries with counterfeit checks that appear to be issued by a title company. Some of the consumers are told they have been hired by a company that has accessed their posting of a resume on a job recruiting site. The purpose of the counterfeit check is to convince the consumer to deposit the check and send a portion of it to the “hiring” company to purchase equipment they will need to perform their new job or to pay their recruitment fee.
Of course, the payee is none other than the fraudster who wants to abscond with the consumer’s money before it is discovered the check they deposited was counterfeit. Other fraudsters are using the “SECRET shopper” tactic to dupe consumers. Be sure to read the article and become familiar with these schemes.
Last month, we provided an overview of how to complete IRS Form 8300. However, there is one box found on the form we did not cover. There may be situations where the settlement agent is suspicious about the principal or other parties to a real estate transaction. Suspicious transactions may include:
Settlement agents may voluntarily report a suspicious transaction by marking box 1b on Form 8300. A suspicious form may be filed even if the “cash” received from any one remitter is less than $10,000. Voluntarily filing Form 8300 does not require notification to the party.
Settlement agents who are suspicious about a transaction should contact their management for assistance. Read “REVIEW of ‘cash’ reporting” for one last quiz on what we have learned throughout the year.
The Fidelity National Title Group works very hard to help prevent fraud from occurring. There are some steps vacant land and non-owner-occupied property owners can take to protect themselves:
Debunking the Myths
A title or escrow company cannot simply flag your property for potential scams. This is why it is urgent that you timely respond to inquiries from title, escrow or real estate companies. Should you find out your property is being marketed for sale by an imposter, go to the source.
Reach out as soon as possible to the real estate agent or website to notify them you are the true property owner, and your property is not for sale. Request a withdraw of the listing or ad from the site.
How can Buyers Protect Themselves?
Always purchase title insurance. Title insurance provides coverage over many items affecting real property, including fraud and forgery; subject to the exceptions and exclusions described in the title policy. Remember: title insurance provides coverage for issues occurring before the date of the policy.
The Consequences
These scams will likely result in changes in how real estate transactions are processed. The next time you purchase or refinance a property, do not be surprised if you experience additional steps to prove your identity: such as the use of I.D. authentication software or virtual meetings with the settlement agent to prove your identity, as well as a requirement to use the notary selected by the title or escrow company.
Additional Resources
This scam is widespread and garnering nationwide attention. For additional information, refer to the links below:
American Land Title Association: https://www.homeclosing101.org/
Secret Service: https://www.secretservice.gov/investigation/Preparing-for-a-Cyber-Incident
For additional information, including how to contact law enforcement:
Secret Service Field Offices: https://secretservice.gov/contact/field-offices
FBI: https://www.ic3.gov/
The information provided herein does not, and is not intended to, constitute legal advice; instead, all information, and content, in this article are for general informational purposes only. Information in this article may not constitute the most up-to-date legal or other information.
Article provided by contributing author:
Diana Hoffman, Corporate Escrow Administrator
Fidelity National Title Group
National Escrow Administration
Ryan J Orr of Team Title Guy at Ticor Title breaks down the foundational items in establishing “Farm” areas. He leverages 20 years tin the Real Estate industry and what has worked best for top producers for years. Listen in to learn key tips, of what is working and what does not. Ryan’s goal is to share to help people grow their business, and hopefully as a true strategic partner, he can grow with you!
Do you have the following?
A database?
A monthly plan/ schedule?
How do you leverage?
Delegate
Tools?
I look forward in this 5 part series to sharing best practices, and shares to helping build campaigns to help our clients win!
ARE YOU WITH ME? Watch, and hit that subscribe!
Ryan breaks down ideas on leadership in sales, being a business owner, (in whichever industry you are in) Great reminders as to the things we know we need to do, however, we become distracted. What steps are you taking to stay on point and stay on top! We are here to run along side you and be a true strategic business partner. When YOU win, WE win.
Podcast Link:
https://www.buzzsprout.com/95458/5157868
Helping Others Succeed
Ultimately, it all comes down to service. “When someone calls, they will get a response in minutes. If I’m in a meeting, my phone forwards to Victoria, and she will respond. It’s important to me that when somebody calls, somebody answers. I never take for granted that good relationships are based on communication. If we don’t know what you want and when you need it, we can’t exceed your expectations. And we are relentless with follow-up. When there is a challenge, we typically get things worked out. We know how to find creative solutions to get the file closed while safeguarding the parties.”
Ryan’s peers have the highest praise for him and his team. One summed up: “Since meeting and starting to work with Ryan, I have had nothing but great service. I have not opened a title order with any other title rep for about 8 years now. There just is no reason. Ryan is always available and treats me like his only client. I highly recommend using Ryan for all title orders. He is a great connection to other services, as well, and makes himself a valuable resource. Give him a try and you won’t have to worry about title anymore.”
Ryan’s priorities in life are faith, family and business, and his values are reflected in the way he serves both clients and community. He is a founder of the West End Real Estate Professionals (WEREP), a group that meets
weekly to elevate the real estate profession. Inspired by the 9-11 tragedy, Ryan also founded Operation Community Cares, a nonprofit organization that sends thousands of care packages each year to deployed service people.
“In 2012, I unexpectedly lost my father and it was a huge reminder as to how precious life and time truly is. As a result, I run my business by design. I live, work, eat, sleep and breath the community we live in,” Ryan says, “and I’m extremely involved in my kids’ lives. After losing my father, the concept of legacy rang through my mind allowing him to live on and how others would view me. I love the quote that people won’t always remember what you did, but they’ll remember how you made them feel. So I make it my goal to do my best in every situation, and hope that others can say this about their interactions with me. My mission is to help others succeed, and in turn, I am hoping we can grow our businesses together!”
Ryan J. Orr –
Vice President
Ticor Title
4120 Concours, Suite 400 Ontario, CA 91764
Tel: 909-767-0718
Email: ryanjorr7@gmail.com
Web: www.TeamTitleGuy.com