Imagine discovering that someone has used your identity to secure a mortgage and purchase a property under your name — without your knowledge or authorization.
That’s what happened in this week’s case, where a broker allowed his only agent — his own brother — to operate with little or no supervision. When that agent fraudulently purchased and rented out a property, the broker was also on the hook.
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This isn’t an article about how not to commit fraud (we hope you’ve got that locked down), but about how to use this story to provide another service to your clients: real estate fraud prevention. Even though the story in this podcast episode happened all the way back in the late 90s, it resonates even more today.
Real estate fraud has evolved
Although real estate-related fraud is on the uptick, a recent study found that over half of U.S. states have no laws on the books to combat it. Consumers who don’t follow real estate news may assume fraud only happens to “other people” and know little or nothing about:
- Deed fraud
- Title fraud
- Forged liens
- HELOC fraud
- Wire fraud
- Identity theft tied to mortgage applications
Meanwhile, the increasing capabilities of AI and remote real estate transactions have made it easier than ever to create realistic fake communications and legal documents.
Consumers, in general, don’t know how exposed they are. Those who don’t yet own a home may assume that they’re not at risk because they don’t own property. However, their identity and credit can be illegally used to acquire a mortgage and purchase a property, just like in today’s case.
Homeowners are even more at risk, since many don’t monitor the title activity on their property, don’t understand what title insurance covers and rarely think proactively about fraud prevention, especially if they’re not planning to sell anytime soon.
For agents: The opportunity to become a trusted resource
Safety-savvy real estate agents are uniquely positioned to educate consumers through security-focused conversations and content that creates trust. Topics can include:
- Reminding clients to freeze credit when it’s not in use
- Explaining how to set up fraud alerts
- Encouraging title monitoring and reviews
- Discussing title insurance protections
- Educating clients about wire fraud safety
Create and distribute content around these topics through:
- Newsletter topics
- Social media content
- Buyer consultation talking points
- Listing presentation talking points
- Educational videos
- Post-closing follow-up campaigns
- Annual homeowner check-ins
How this differentiates your service
Consumers can get basic information about the homebuying and homeselling process online, on social media and via AI-based Q&As. Increasingly, they’re searching for advisors, not transaction facilitators.
Educational content marketing builds credibility, and guidance that focuses on protection reinforces your value as a fiduciary. However, safety-focused education does something more: It adds emotional weight to the experience of working with you.
Identity or deed theft feels deeply violating. It’s scary and traumatic, and the impact can last a long time. Clients will remember you when you help them feel protected and safe. What’s more, they’ll trust you to keep their friends and family safe, becoming cheerleaders on behalf of you and the service you provide.
10 safety-focused topics for blogs, videos and social media
1. Why every homeowner should freeze their credit
A practical consumer explainer on how credit freezes work, why they matter, and how they can help prevent mortgage and identity fraud.
2. What is deed fraud — and could it happen to you?
Break down how forged deeds and title fraud work, warning signs homeowners should watch for, and how scammers target vacant properties, rentals and elderly homeowners.
3. What title insurance actually protects you from
Most consumers barely understand title insurance at closing. This piece explains what it covers, what it doesn’t, and why policy choices matter.
4. 5 real estate scams homeowners should know about in 2026
An easy-to-share roundup covering wire fraud, contractor liens, fake sellers, rental scams and identity theft tied to mortgages.
5. The simple safety checks every homeowner should do once a year
A homeowner “financial maintenance” checklist that includes how-tos for:
- Reviewing title records
- Freezing credit
- Updating passwords
- Monitoring property tax notices
- Verifying liens
- Checking fraud alert systems
6. Why you should never ignore a letter about your credit or property
Use real-world examples to explain how consumers often discover fraud accidentally — through credit notices, tax mail, collection calls or title notifications.
7. How criminals use stolen identities to buy real estate
A fascinating behind-the-scenes look at mortgage fraud schemes and why identity theft is increasingly tied to real estate transactions.
8. The hidden risks of owning vacant land or investment property
Explain how and why vacant parcels and out-of-state properties are especially vulnerable to title fraud and fake sale schemes.
9. What to do immediately if you suspect real estate fraud
A step-by-step action plan to help consumers:
- Freeze credit
- Contact title company
- File police report
- Notify lenders
- Check county records
- Contact an attorney
10. Why your real estate agent should talk to you about fraud prevention
Positions you as a proactive advisor rather than just a salesperson, while naturally explaining fiduciary responsibility and reinforcing your own consumer advocacy role.
While today’s fraud story is dramatic, the lesson is straightforward: Agents who educate their clients about risk, protection and prevention position themselves as valued long-term advocates, not just salespeople.
Disclaimer: The information provided in this article is for general informational and educational purposes only and does not constitute legal advice. The discussion is based primarily on laws, regulations, and regulatory guidance applicable in the State of California, including those enforced by the California Department of Real Estate. Laws and regulatory interpretations vary by jurisdiction, and readers should consult with qualified legal counsel or their broker regarding how these issues may apply to their specific situation or in other states.
Troy Palmquist is the founder and principal at HomeCode Advisors. Connect with him on LinkedIn.
Summer Goralik is a real estate compliance consultant and former CA DRE Investigator in Huntington Beach, California. Connect with her on LinkedIn.
