How fraud gets stopped in its tracks by real estate and title pros

Real estate fraud has evolved rapidly, and professionals across the industry already recognize that today’s schemes are more complex and convincing than ever.

What has changed most is the scale — driven by artificial intelligence (AI) that can generate realistic emails, cloned voices and even live deepfake video impersonations of buyers, sellers or agents.

In 2025, the FBI’s Internet Crime Complaint Center (IC3) logged 1,008,597 cyber-enabled crime complaints, with losses surpassing $20.8 billion — a 26% rise from the prior year.

Real estate fraud alone led to 12,368 complaints and $275.1 million in losses.

Business email compromise — often targeting home closings and wire transfers — accounted for $3.04 billion in losses across 24,768 complaints.

IC3 received more than 22,000 AI-related complaints in 2025, with adjusted losses exceeding $893 million.

What to do when encountering fraud

IC3 instructs victims to retain all original documentation when reporting fraud.

That begins with preserving evidence in its native format — saving full email files instead of screenshots, downloading attachments directly, retaining text messages with timestamps intact and avoiding forwarding or editing files in ways that could strip metadata.

This step is especially important in cases involving AI-generated content.

The National Association of Realtors cite how this level of preservation and documentation is needed to effectively combat scammers using deepfake technology. Original files allow forensic experts to examine hidden data and detect manipulation.

Experts also urge professionals to preserve entire communication threads and document how contact began, whether through a listing platform, referral or unsolicited outreach. That includes a record of phone numbers, email addresses, usernames and any shifts in communication patterns.

An explainer from American Bankers Association notes that deepfake scams often include subtle irregularities such as mismatched audio, unusual urgency or inconsistencies in tone.

Potential fraud victims are advised to include detailed financial information in IC3 complaints, including transaction dates, dollar amounts, recipient accounts and involved institutions.

Collect all related documents — wire instructions, settlement statements, title records and confirmation receipts — and keep them organized and unaltered.

Rapid reporting of any incident increases the likelihood that transactions can be intercepted before funds are fully transferred.

Store original files securely and create backups to prevent loss. When sharing information with investigators or financial institutions, provide copies rather than originals and document when and how the files were transmitted, experts add.

Avoid becoming the weak link

AI-driven fraud continues to reshape the risk landscape in real estate, making scams more scalable, more believable and harder to detect.

In this environment, the ability to document and report fraud effectively is as important as preventing it.

By following IC3-aligned practices — preserving original evidence, capturing context, securing financial records, reporting quickly and maintaining chain of custody — real estate and title professionals as well as consumers can improve the chances of stopping fraud in its tracks.