Vacant Land Scams are REAL

About 6 months ago, I received an email from (let’s call him) Charlie.

A “nothing out of the ordinary” email from a common (and mildly validating) charlie…..@hotmail stating: “I have owned the lot for many years, but a couple of years ago I moved from Illinois to California, and I would like to sell the lot.

If you could please provide me with a market valuation, that would be great. We are looking to make a quick decision on this.

Thank you,

Charlie”

….and he provided a phone number! (further validating to be a real person)

Well, real estate is what we do here, so I went to work.

I walked the land, emailed questions about access to utilities (electric, water, sewer), and performed all the basic steps we take to get to know the ins and outs of the property. I prepared the market valuation and sent it.

Charlie was quick to respond. “This is great. Thank you for turning this around so quickly….” etc. No red flags yet!

We scheduled a call…

It was an out-of-state phone number, but when someone lives “out-of-state,” it’s tricky to determine authenticity. I wish I could say that there were blatant red flags, but once again, Charlie could have been anyone.

We discussed the valuation numbers, terms of the agreement, and he was friendly and agreeable to all of the terms. Maybe too agreeable?

{Process Improvement Learned#1: Request a copy of the Driver’s License or Picture ID. (Per the FBI, a fake driver’s license is not difficult to obtain and does not confirm that the person on the phone is actually the same person.) – I mean, if 19-year-olds can get fake IDs, then… point made.

All public Record data supported that the person I was speaking with was Charlie, the owner of this lot.

> $585 later, the photoshoot was done, aerial drone photos and all.

> Listing Agreement Signed.

>$45 Sign in the yard

> Property goes LIVE on the Multiple Listing Service (MLS)

>$800 in ad spend week 1. Inquiries start trickling in with general questions about the lot, location, utilities, etc. NO RED FLAGS YET….

UNTIL….!

A broker I have worked with in recent years calls me about the SAME lot and says something to the effect of:

Mario, I noticed that you just listed this lot for sale. I was in recent conversations with a guy named Charlie, who claimed to be the owner of the lot. I supplied him with comparables, and we started to discuss the terms of the listing agreement when I suddenly noticed your listing of the same lot. Something is off.

Something is off. (You think?!?)

What makes verification of ownership of Vacant Land Sales so tricky is that there is no physical structure, which means no occupants, management companies, utilities, or neighbors with information.

With a vacant lot, it’s just concrete/grass, trees, and what the computer screen tells us.

I performed a Reverse Search on Charlie, as the name of the tax records was still that name. It populated a couple of phone numbers, and I called with a message to call.

About a week later, I received a phone call from (the REAL) Charlie. He was completely unaware but grateful that I called him.

How to Protect Your Lot from an Unauthorized Closing

Realtors are no longer the only fraud prevention barrier fighting to stop an unauthorized closing. Real Estate attorneys and Title Companies (in IL) can add special protections to ensure your land isn’t being sold.

How can an Attorney help?

If you are a real estate attorney working with an out-of-state seller of a piece of land, it’s prudent to require additional protections to prevent a fraudulent sale.

Physical Verification: Insist on in-person pre-signing and closing procedures with notary verification rather than fully remote, unverified signings.

Title Companies: Another layer of Protection

Over the past few years, many Title Companies have added sophisticated software to verify the seller’s identity, comparing IDs against databases to prevent impersonation, especially for vacant land or investment properties.

Chain-of-Title Review: Examiners verify the history of ownership and compare documentation to identify forged deeds or “wild deeds” that do not align with official records.

Verification of Authority: If a Power of Attorney (POA) is used, title companies strictly review it to ensure it is valid, current, and has not been used after the property owner’s death.

Preventing Closing Fraud: If suspicion arises, such as a seller unable to produce valid identification or insisting on all-cash deals, the title company can freeze the transaction and stop the closing.

Title Insurance to the Rescue!

An owner’s title insurance policy can protect a homeowner from a fraudulent closing, such as forged deeds or seller impersonation. It generally covers legal defense costs to clear the title and may compensate for financial losses if the property ownership is disputed due to fraud.

How You Can Help Protect Yourself

Title Monitoring: Check if your county offers a free “property fraud alert” service that notifies you of any filings against your name.

Regularly Review Records: Periodically check your county’s online deed portal.

Credit Freeze: Place a freeze on your credit reports to prevent scammers from using your identity.

Monitor Vacant Properties: If you own vacant land, check it frequently. Is there a sign in the yard, or land survey flags in the corners of your lot?

Be Skeptical of Red Flags: Be wary of sellers who refuse face-to-face meetings, propose unusually quick sales, or suggest using their own notary.

What to do if your lot was sold

If you suspect fraud, you should immediately contact your title insurer, real estate attorney, and local law enforcement.

Contact Your Financial Institution: Authorities have a better chance of stopping and recovering wired funds within the first 72 hours.

Seek Legal Counsel: Contact local law enforcement, your state’s Attorney General’s office, and a real estate attorney immediately.

Contact the FBI directly: You can also report the fraud by calling 1-800-CALL-FBI or submitting a tip online at tips.fbi.gov.

….so what happened to Charlie the Fraud and the Real Charlie?

Well, as you can imagine, we started asking many questions to the fake Charlie. A video call, proof of identity, and pretty quickly, he was nowhere to be found. His emails went silent, and the listing was cancelled.

The real Charlie is a super nice guy, and was very grateful for us stopping the theft of his land. We have continued to stay in touch and have begun conversations about selling or developing the lots. Time will tell.

In the meantime, be careful, keep an eye on your vacant land, and if you need anything from us, please let us know. We are here to help however we can.

Credits to: National Association of Realtors, FBI, Rethinking65, UnionBank of Vermont, NAR, LeaderBank