Forbin
Updated Thu October 15, 2026
Published Under: Cybersecurity Financial Literacy Home Loans
You’re three days out from closing when an email arrives from what looks like your title company. They’re saying the wiring instructions have changed, and here’s the new account number. The logo and signature look right. The subject line even references your address.
So you send the money. And it’s gone.
Real estate wire fraud often targets homebuyers during the final days before closing, when everyone is moving fast, deadlines are approaching, and large sums of money are changing hands. The good news is that pausing to verify the instructions by phone can help you catch a scam before sending your closing funds.
October is Cybersecurity Awareness Month, making it a good time to review F&M Bank’s Security Resources and learn how to protect yourself during major financial transactions.
Quick answer: Before sending closing funds, call the title company or closing agent using a trusted phone number to verify wiring instructions. Never rely solely on emailed account information especially if instructions change unexpectedly.
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How Can You Avoid Wire Fraud When Closing on a Home?
Before transferring closing funds, call your title company or closing agent using a phone number you already trust. Confirm the complete account and routing numbers, and never rely on emailed wiring instructions alone. If the instructions change unexpectedly, stop and verify them before sending money.
In This Article
Have a specific question about wire fraud? Jump to the section that is most helpful for you.
What Is Real Estate Wire Fraud?
Real estate wire fraud happens when a criminal tricks a homebuyer into wiring closing funds to a fraudulent account instead of the legitimate one.
What you might find surprising is that the scam usually doesn't start with you. It starts weeks earlier, when a criminal gains access to an email account belonging to someone involved in your transaction, such as a real estate agent, title company employee, closing attorney, or loan officer.
From there, the criminal reads messages and learns the details of your purchase, including your name, closing date, property address, and even the way your agent signs off on emails.
When the timing is right, they send an email that looks like it came from someone you already trust. Sometimes they spoof the address entirely, while other times they register a lookalike domain with one letter swapped or an extra character added, and you'd have to be staring at it to notice.
Closings can be attractive targets because:
- The dollar amounts are large, often the biggest transfer a person will ever make.
- Wire transfers move quickly and can be difficult to reverse once received.
- Last-minute changes feel normal during a closing.
- Buyers are often managing paperwork, deadlines, moving arrangements, and other details at the same time.
Important: Because the timing is deliberate, these scams can catch even careful buyers off guard.
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Common Closing-Stage Scams
Wire fraud is the headline risk, but it rarely travels alone. These are the tactics that show up most often in the weeks before closing.
Fake Wiring Instruction Emails
The most common version. A message arrives with "updated" or "corrected" banking details, often with a PDF attached to make it feel official.
Phishing Messages Posing as Your Lender or Title Company
These messages ask you to click a link and log in to "verify your documents" or "confirm your closing details." The page looks real, but it's made to capture your username, password, or other personal information.
Last-Minute Account Changes
Any message explaining that the escrow account or receiving account changed due to a bank switch, an audit, or a technical issue deserves a careful second look.
Urgent Payment Demands
You may receive a warning such as, "The closing will be delayed if funds aren't received by 3 p.m." Urgency is a common tactic used to keep people from slowing down and verifying the request.
Fraudulent Phone Calls
Criminals sometimes call claiming there's a problem with your closing and offer to "walk you through" sending funds a different way. Caller ID can be faked, so a familiar number on your screen doesn't prove anything.
Warning Signs of a Home Closing Scam
You don't need to be a cybersecurity expert to catch most of these. You just need to know what "off" looks like.
Watch for these:
- Payment instructions that change after they've already been confirmed
- Pressure to act immediately or keep the transaction quiet
- Email addresses with subtle misspellings or an unfamiliar domain
- Grammar, formatting, or tone that doesn't match how that person usually writes
- Requests to bypass a step you were told was required
- Instructions to send funds to a different name, bank, or account
Helpful note: Legitimate closing professionals expect buyers to verify important financial information, so if someone pushes back when you say you want to confirm the instructions by phone, that reaction is a reason to pause.
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How to Protect Your Closing Funds
This is the section to bookmark. These steps take only a few minutes, and they can help you avoid a costly home closing scam.
Verify Wiring Instructions by Phone Every Time
Call the title company or closing agent directly before you initiate a transfer, and confirm the account number and routing number out loud.
Use a Phone Number You Already Trust
Pull it from the contract, an earlier document, or the company's official website. Never use a number that appears in the email containing the instructions.
Never Rely on Email Alone
Email is a fine way to receive documents, but it shouldn’t be your only method of confirming where your money is going.
Check the Details Character by Character
Email is a fine way to receive documents, but it shouldn’t be your only method of confirming where your money is going.
Tell Your Closing Team How You'll Operate
Let your lender, agent, and title company know early that you’ll verbally confirm all payment instructions. This sets the expectation before the final days of closing.
Protect Your Accounts in the Meantime
Use strong, unique passwords, turn on multifactor authentication for your email, and avoid handling closing business on public Wi-Fi.
Ask Questions
If something feels strange, say so. No one on your closing team will be annoyed by a buyer who double-checks before sending money.
If you’re still early in the process, our homebuying guide explains what to expect at different stages of buying a home. Knowing how the process normally works can make unexpected requests easier to recognize.
You can also explore our Home Loans and meet the local lending team that can help guide you from application through closing.
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What to Do If You Think You've Been Targeted
Speed matters enormously here. Wired funds can sometimes be recalled, but the window is often measured in hours, not days.
- Stop the transaction immediately. If you haven't sent the funds, don’t proceed.
- Call your bank right away. If the wire was already sent, ask whether the bank can attempt a wire recall. If your account is with F&M Bank, use our Contact Us page to find a trusted number.
- Notify your title company, real estate agent, and lender. They need to know that communications connected to the transaction may have been compromised.
- Report the incident. File a complaint with the FBI's Internet Crime Complaint Center at IC3.gov, and contact local law enforcement. Save the suspicious email, payment information, phone numbers, wire details, and the time the transfer occurred.
Even if you only suspect something is wrong, make the calls. There’s no downside to pausing the transaction while you verify the details.
Secure your email account. Change your password, enable multifactor authentication, sign out of unfamiliar devices, and check your account for forwarding rules you didn’t create
Closing With Confidence
Buying a home should feel like a milestone, not a minefield. The most important defense is also one of the simplest—verify wiring instructions by phone using a number you already trust.
Treat urgency as a warning sign instead of a deadline, review unexpected changes, and ask questions whenever something doesn’t feel right. Those habits can help protect one of the biggest transactions most people will ever make.
Our lenders in Waterloo, Marshall, and Lake Mills walk buyers through the homebuying process every day. We would rather answer ten cautious questions than receive one call after money has been sent to the wrong account.
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Real Estate Wire Fraud FAQs
How do I know whether wiring instructions are legitimate?
Call the title company or closing agent using a phone number from your contract, an earlier trusted document, or its official website. Confirm the complete account and routing numbers before sending funds. Don’t use the phone number in the message that provided the instructions.
Do title companies change wiring instructions before closing?
Procedures can vary, but you should independently verify any new or revised instructions. Treat an unexpected account change as a reason to pause, even when the email appears to come from someone you know.
Can a wire transfer be reversed if it was sent to a scammer?
Contact your bank immediately and ask whether it can attempt a recall. Recovery isn’t guaranteed, which is why contacting the bank and reporting the incident quickly are important.
What information should I save if I suspect wire fraud?
Keep copies of emails, attachments, phone numbers, account information, wire confirmations, and the date and time of the transaction. Share those details with your bank and the appropriate authorities.
Should I send closing funds based on an email?
Don’t rely on an email alone. Confirm the instructions by phone with the title company or closing agent using contact information you obtained independently.
What should I do if my email account may have been compromised?
Change your password, enable multifactor authentication, sign out of unfamiliar devices, and review your forwarding settings and inbox rules. If you use a work email account, notify your organization’s IT or security team.
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