Seller Impersonation Fraud Attempts More Than Doubled—What Rhode Island Buyers and Sellers Need to Know

Real estate fraud isn't something that happens somewhere else to someone else.

The American Land Title Association's latest Seller Impersonation Fraud Study found that 59% of firms reported experiencing at least one seller impersonation fraud attempt in 2025, more than double the 28% reported in ALTA's 2024 study.

The findings, based on responses from 245 title insurance professionals across 40 states, the District of Columbia and the U.S. Virgin Islands, reveal criminals are broadening their targets, adopting new technologies and attempting increasingly complex schemes.

This isn't a vacant-land-only problem anymore. Criminals are now targeting vacation homes, rental properties, agricultural land—even primary residences. And they're using tools like deepfake video and voice technology, spoofed contact information, and stolen personal details to pull it off. If you're buying or selling real estate in Rhode Island, you need to understand what's happening, what properties and owners are most at risk, and how the professionals working your transaction are fighting back.

Fraud Attempts Are Happening More Often—and Costing More

Perhaps more alarming, 45% of respondents reported at least one seller impersonation fraud attempt in the last month, with 23% encountering three or more instances.

That's a sharp jump from 19% who reported a monthly attempt two years earlier. Fraud isn't occasional—it's a regular occurrence for title firms across the country.

When these schemes succeed, the financial damage can be devastating.

Of the respondents that reported at least one seller impersonation fraud attempt in 2025, 1 in 4 paid out a claim. Among companies that reported a claim and disclosed the amount, half said the average cost of a payout was more than $100,000.

Losses like that can wipe out a buyer's down payment, savings, and financial security for years. The legal fallout affects both buyers and the actual property owners who discover too late that someone stole their property.

Criminals Are Widening Their Target List

Vacant land has always been a popular target for this type of fraud—82% of firms in the survey rated it as common. But four other property types saw sharp increases since the 2024 survey:

- Vacation homes: 51% (up 14 percentage points)

- Rental properties: 48% (up 11 points)

- Agricultural land: 36% (up 13 points)

- Primary residences: 25% (up 13 points)

The 2026 survey asked for the first time about ownership characteristics tied to fraud attempts. Three patterns stood out clearly:

- Absentee owners: 72%

- Properties owned free and clear: 68%

- Properties tied to recently deceased owners: 55%

When an owner isn't living at the property or checking on it regularly, and when there's no mortgage lender involved who would spot irregularities, it becomes much harder to catch an impersonator before the deal closes.

New Tools on Both Sides of the Fraud Fight

The tactics criminals use are evolving quickly.

Spoofed contact information ranked the highest as a strategy used in impersonation attempts, with 87% of firms citing it as at least a somewhat common tactic.

Deepfake technology—fabricated video or voice used to impersonate a real person—entered the survey as a new category this year.

This year's study asked title firms to share how commonly image or voice deepfakes were used, and 58% reported that it was at least somewhat common.

Criminals also rely on stolen personal information to build credibility:

- Birth dates: 70% (up 17 points)

- Social Security numbers: 55% (up 13 points)

- Death certificates: 36% (a new category in the survey)

The biggest red flag jump? Properties tied to a deceased title holder. That warning sign went from 36% in 2024 to 60% in 2026—a 24-point increase, the largest of any red flag tracked in the study.

To combat all of this, title firms are layering multiple defenses.

ALTA notes that 98% of title insurance firms use at least one tool to help detect fraud, with the vast majority layering, on average, five tools.

Here's how the top tools rank:

- ID verification systems: 92%

- Contacting the seller directly: 90%

- Multifactor authentication (MFA): 89%

- Approved notary: 88%

- Knowledge-based authentication: 86% (up 24 points since 2024)

- Remote online notarization: 66% (up 20 points)

The curative process—the title review and clearing work completed before closing—catches more fraud than any other stage. 87% of firms flag issues there, compared with 68% at signing or closing and 42% during order entry, search, and exam. That makes the work your title professional does before you ever sit down at the closing table absolutely critical.

What This Means for Rhode Island Buyers and Sellers

While the ALTA survey covers 40 states and U.S. territories, the trends it reveals matter right here in Rhode Island. We have vacation properties along the coast, rental homes throughout our towns and cities, and absentee owners who live out of state or out of country. We also have a growing number of properties passing between generations. All of those characteristics put Rhode Island real estate in the fraud target zone.

If you're selling property in Rhode Island—especially if you're an absentee owner, own property free and clear, or are handling an estate—be alert to any contact that seems unusual or rushed. If someone reaches out claiming to represent a buyer and asks you to use their notary, their title company, or their closing agent, slow down. Verify who you're talking to before you share personal information or sign anything.

If you're buying in Rhode Island, understand that the title work happening behind the scenes isn't just paperwork—it's your financial protection. A legitimate title professional will take the time to verify the seller's identity, contact them directly, and flag anything that doesn't add up. That process might feel slow, but it's what stands between you and a six-figure loss.

We work with experienced title professionals who understand these risks and build verification into every transaction. That's not optional or extra—it's standard practice, and it should be for anyone handling your closing.

Multiple Checks Catch More Fraud

No single tool stops every scheme. The firms with the strongest fraud-detection record use several checks at once—ID verification, direct seller contact, multifactor authentication—and treat the curative process as the last real opportunity to catch a problem before it's too late to fix.

Seller impersonation fraud is part of a broader rise in real estate scams. Wire fraud and business email compromise both grew alongside it in the survey. Verification steps built to catch one type of fraud often catch others, too. Building these checks into every deal—not just the ones that look risky—gives everyone a better chance of spotting trouble before closing day.

Concerned about fraud risks in your transaction? You deserve a team that treats verification and title work as seriously as marketing and negotiation. Slocum Home Team works with trusted title professionals who layer multiple fraud-detection tools into every closing. If you're buying or selling property in Rhode Island and want a pro on your side who genuinely cares about protecting your investment, reach out. Call us at (401) 372-8976, email Hello@SlocumHomeTeam.com, or visit slocumhometeam.com. Every home is someone's castle—and we're here to help you protect yours.