Real estate transactions are one of the most common targets for wire transfer fraud in California due to the large sums of money being transferred and the involvement of multiple parties, such as buyers, sellers, real estate agents, and escrow officers. One of the most prevalent schemes is the “business email compromise” (BEC), where hackers intercept or spoof email communications and send false wiring instructions to buyers, often right before closing.
Buyers may receive what appears to be a legitimate email from their escrow company, real estate agent, or attorney, instructing them to wire the down payment to a new account. If the buyer doesn’t verify this request independently, the funds may be wired directly to a scammer’s offshore or domestic account—and are often gone within hours. These scams are highly sophisticated and often involve months of monitoring email traffic to strike at the right moment.
A lawyer experienced in California wire transfer fraud and real estate law can help victims investigate the source of the breach, determine if any party was negligent, and pursue claims to recover the funds. In many cases, poor cybersecurity practices, failure to warn about fraud risks, or lack of verification protocols can result in liability for real estate professionals or escrow firms. If you’re involved in a real estate deal, always verify wiring instructions through a phone call using known, trusted contact information—and consult a fraud attorney immediately if you suspect something is wrong.
