New Cryptocurrency Scam
The hottest topic in Broker Risk Reduction is a new cryptocurrency scam targeting real estate professionals. The Secret Service reached out to NAR last week to alert us to this scam in which some agents have lost significant sums, including their entire retirement accounts.
In the scam, fraudsters pretend to be wealthy all cash homebuyers and engage a real estate agent to develop a relationship. Through the course of the engagement, the fraudster lies about becoming rich through cryptocurrency and then invites the agent to check out a crypto investment website that looks legitimate with cryptocurrency that seems real. The real estate agent makes a small investment, sees a large return, and is allowed to withdraw their profit. The agent then invests more money—even their retirement savings, only to lose it all. In June, NAR's Window to the Law video series will cover this topic. Stay tuned for that release.
Next, deed fraud in its many forms continues to spread. NAR conducted an informal survey of Government Affairs Directors, state counsel and AEs, and here are some highlights:
63% of respondents reported awareness of such fraud in their markets within the past 12 months.
Efforts to combat title fraud and deed theft are in place in 76% of respondents' areas, predominantly at the state level through internal REALTOR® association policies and state legislation.
The most effective perceived solution is an electronic notification system for property owners, supported by 83% of respondents.
Source: National Association of Realtors®
This information is provided for educational purposes only and should not be construed as legal advice or representation and should not be relied upon as such. Broward, Palm Beaches & St. Lucie Realtors® and its affiliated companies cannot provide legal advice or opine about the specifics of your situation.
By RWorld Staff
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