ALTA Reports Rise in Seller Impersonation Fraud Attempts
News related to:American Land Title Association · 2 min read
The American Land Title Association (ALTA) has released new research highlighting a significant rise in seller impersonation fraud attempts, with the number more than doubling since 2024. According to the 2026 ALTA Critical Issues Study, 59% of firms reported at least one such attempt in the previous year, compared to 28% in 2024.
Seller impersonation fraud involves criminals impersonating property owners to illegally sell commercial or residential property. The study underscores the growing sophistication of these schemes and the need for layered defenses within the title industry. Elizabeth Blosser, ALTA's Chief Strategy, Communications & Innovation Officer, emphasized the critical role title professionals play in protecting property rights and maintaining confidence in real estate transactions.
Blosser noted that criminals are investing time and resources to exploit weaknesses in real estate transactions.
The research reveals that criminals are broadening their targets and tactics. While vacant land remains the top target, vacation homes, rental properties, agricultural land, and primary residences have also seen an increase in fraud attempts. Technology is also playing a significant role in these schemes, with 87% of respondents reporting spoofed contact information as at least somewhat common. Additionally, 58% of firms reported the use of deepfake image or voice technology.
The financial consequences of these frauds can be substantial. One in four firms that reported an attempt also reported a paid claim related to seller impersonation fraud. Among those that did report a claim, the average costs were above $100,000 in half of the cases.
To combat these threats, title professionals are employing multiple tools to detect and prevent fraud. Ninety-four percent of firms reported using multiple fraud-detection tools, with an average of 5.3 tools per firm. These tools include rigorous verification processes and the integration of advanced technologies to identify suspicious activity.
The findings of the study underscore the increasingly important role title professionals play as a frontline defense for consumers and property owners. As criminals adapt, title companies are enhancing their defenses through identity verification, authentication, and professional expertise to stop fraudulent transactions before they can harm consumers.
The full ALTA Critical Issues Study: Seller Impersonation Fraud is available for further reference.