Buying or selling a home involves a lot of moving pieces; and often, a lot of money changing hands. Unfortunately, that makes real estate transactions an attractive target for cybercriminals.
Wire fraud has been a threat to the real estate industry for years, but artificial intelligence is changing the game. Today, fraudsters can use AI to create more convincing emails, imitate writing styles, clone voices and even produce realistic deepfake videos.
For buyers, sellers and real estate professionals, knowing what to look for has never been more important.
Traditional wire fraud often relies on Business Email Compromise (BEC). A criminal may gain access to an email account or impersonate someone involved in a transaction, then send fraudulent wiring instructions designed to redirect money into an account controlled by the scammer.
Now, AI can make those impersonation attempts significantly more convincing.
Fraudsters may use AI to:
That means some of the traditional warning signs; awkward wording, obvious spelling mistakes or suspicious-looking messages, may no longer be as easy to spot.
A real estate closing can involve substantial wire transfers, including down payments, closing costs and sale proceeds.
At the same time, buyers and sellers are communicating with multiple parties and often working against deadlines. A fraudulent message that appears to be an urgent request from a familiar person can therefore be especially dangerous.
A scammer may send a message claiming that wiring instructions have changed or that funds need to be sent immediately to avoid delaying closing.
With AI making impersonation easier, the message; or even the person calling to confirm it, may seem legitimate.
Wire fraud isn't the only concern.
Seller impersonation fraud has also become increasingly sophisticated. In these schemes, criminals pretend to be legitimate property owners and attempt to sell property they don't actually own.
Artificial intelligence can potentially make those schemes harder to recognize by helping criminals produce convincing communications, documents, photographs, voices and other identifying information.
This is particularly important as seller impersonation attempts continue to affect the title industry. According to the American Land Title Association, 59% of title firms surveyed reported at least one seller impersonation fraud attempt during 2025; more than double the percentage reported in its previous study.
Even as scams become more sophisticated, there are steps consumers and real estate professionals can take to protect themselves.
Be especially cautious if you encounter:
Unexpected changes to wiring instructions.
Treat any last-minute request to send money to a different account as a major warning sign.
Pressure to act immediately.
Fraudsters often create urgency in hopes that you will send funds before verifying the request.
Requests to communicate through a new phone number or email address.
If someone's contact information suddenly changes, independently verify it.
Unusual communication.
Even if an email, phone call or video looks legitimate, pay attention to anything that feels inconsistent with previous conversations.
Requests to bypass normal procedures.
Be cautious if someone asks you to ignore established verification or closing procedures.
When it comes to wire transfers, verification is one of the most important steps you can take.
If you receive wiring instructions or a request to change existing instructions, do not rely solely on the email, text message or phone call you received.
Instead, independently contact your title or settlement professional using a phone number you already know and trust.
Do not use a phone number contained within a suspicious email or message to verify the request. If that communication came from a fraudster, the contact information could lead directly back to the scammer.
And remember: AI-generated voices and videos mean hearing or seeing a familiar person should not automatically replace established verification procedures.
Time matters.
If you believe money may have been sent to a fraudulent account, immediately contact your financial institution and your title or settlement professional.
Provide as much information about the transaction as possible and ask your financial institution about attempting to recall the transfer. Suspected internet-enabled fraud should also be reported promptly to the FBI's Internet Crime Complaint Center (IC3).
The faster suspected fraud is identified and reported, the sooner the appropriate parties can begin responding.
Artificial intelligence can make scams more sophisticated, but the fundamentals of protecting a real estate transaction remain the same: slow down, verify requests independently and never send funds based solely on an unexpected communication.
At Surety Title Company, we're committed to helping buyers, sellers, real estate professionals and lenders navigate the closing process with confidence.
From title searches and title insurance to settlement and closing coordination, our team works to help keep transactions moving smoothly, accurately and securely.
Have questions about an upcoming closing? Contact Surety Title Company or find a Surety office near you at MySurety.com.
This article is for informational purposes only and is not intended to provide legal, financial or cybersecurity advice.