The Flagler Home Builders Association (FBA) has issued a notice to the public regarding vacant lot scams. Scammers have been falsely representing themselves as land owners or sellers of land that they do not own nor have the rights to sell. This is causing issues with individuals who are paying to purchase a property that is not listed for sale. Below are the details provided on how the scams are conducted, as well as properties that have been recently used in scam attempts.
Details of the Scam:
- Description of the Scam: Individuals or groups are falsely representing themselves as sellers of land, often using misleading or fraudulent documents to convey ownership. They are utilizing the MLS (Multiple Listing Service) and actual vacant properties whose owners live out of state. The scammer’s goal is to get the buyer to wire money to an escrow account that is not the listed title company.
- Addresses Discovered: The following addresses are believed to have been used in this scam tactic in the last 2 weeks: 26 Eastgate Ln., 58 Ethan Allen Dr., 20 Eastman Ln. Thanks to the excellent due diligence of the Realtors® involved in these listings and potential sales, no fraud occurred.
- Common Tactics Used:
- Offering properties that are not legally owned by the alleged seller.
- Listing an actual title company in the sales contract, with a phone number that does not connect to said company, followed by a direction to wire money to an INDIVIDUAL/an account not associated with the title company.
- Emails used to communicate will appear to be from the title company; however, the title company’s actual domain name is different.
- Falsifying identifying documents – upon close inspection, you may find missing letters, inaccurate dates, etc.
- Utilization of “burner” phone numbers that do not lead back to any name or company.
- How to Protect Yourself:
- Never wire funds to an individual for escrow. Always utilize the Title Company and verify the phone number listed on the contract is the same one listed in public records for that Title Company. The same goes for all electronic communications.
- Independently research the contact details for the listed title company and ensure the person you’re communicating with is, in fact, from the title company.
- Consult with a licensed real estate agent or attorney before making any commitments or financial transactions. Make sure your Realtor® is aware of this scam – share this information with them.
- Report any suspicious activity to your local law enforcement agency and the local Realtors Association, especially if the property listing is still up on the MLS (Multiple Listing Service)
