3 Tips to Protect Against Real Estate Scams

By Kandie Frederick

Growing up on the central coast, Kandie is a third generation family in the North County and a second generation family in real estate. Joining Country Real Estate in 2000, and graduating from Cal Poly in San Luis Obispo, she brings a background of Agricultural Business to combine with her knowledge of the local real estate market. Working with her family and their decades of local real estate development, she is deeply connected to the roots of our community and its growth.
“This area continues to grow as people discover what a great travel destination it is, and what a great wine region it has become. Eventually, they realize what a great place it is to live and work as well. Adapting to the needs of our clients in a changing environment is always a priority. We remain the longest standing brokerage in a community we are deeply invested in. Our longevity is attributed to our innate ability to understand the North County: its people, its properties, and its culture.” -Kandie

How would you feel if the property you thought you bought or sold turned out to be part of a scam?

Real estate scams have become a big issue in the last year. Scammers are pretending to be property owners to fraudulently list and sell properties they don’t own. Whether you’re a seller or a buyer, it’s a scam you need to be aware of. Here’s what you need to know to protect yourself and your property:

1. What kinds of properties are being affected? The scam targets owners of vacant land, typically land that’s owned free and clear without a loan. It can also target rentals and other properties where the owner is absent. Short-term rentals, for example, have become another target, though not progressing as rapidly. Essentially, anyone could potentially be affected.

This is happening everywhere, but we’re fortunate to live in a county where our district attorney is actively investigating these cases and working to protect you. They share an active list of properties regularly to help us recognize the scams early on as real estate agents. An updated press release from the DA’s office will be issued soon after this video; I encourage you to watch for it on their Facebook page. We’ve been fortunate to be significantly involved behind the scenes to learn more and to work cases alongside the DA’s real estate investigator. They’re getting ahead of this, which is excellent news.

2. How do you know if your property has been targeted? Unfortunately, property owners don’t usually know this is happening to them until it’s in motion. A Realtor might contact you to verify whether the person they’ve been talking to—the scammer—is real. Another source might be when the DA reaches out. Either way, these people are trying to help you and prevent the scammer from making any progress.

A third source is a letter from the title company. Local title companies are now issuing a letter at the time that a preliminary title report is ordered—either when a property is listed or when escrow is opened. If you are not actively in the process of selling, this letter would be a reason for concern. The letter is sent to the mailing address on file with the tax collector for that property. It’s essential to keep this address current so that you receive these notices.

3. Where do you go to check on your property or to get help? This is a scam where it pays for property owners to be vigilant and proactive in protecting their holdings. The county clerk-recorder website is an accessible way to check your property’s title anytime. Check the tax collector website to ensure your tax bill has the correct mailing address for each property you own. You can also have your Realtor set up a search to include properties like yours so that you are notified if your property is ever listed fraudulently. If you suspect your property has been fraudulently listed or sold, contact the district attorney’s real estate investigator, Eric Vitale, at (805) 781-5868.

While this is real and happening right here on the Central Coast, rest assured that with the proper precautions, you can stay protected. Meanwhile, agents and brokers must constantly look for such scams. Our due diligence is more important than ever to be a resource for you and ensure property owners are protected. For more information about this scam or any other real estate needs, call me at (805) 878-2225.