Verify wiring instructions before you wire funds to escrow...

So luckily I have not experienced this first hand with any of my clients, however I know other agents who have clients that have fallen victim to this. Beware...falling victim to this scam can not only derail your home purchase, but also completely derail your life.

BUYERS: WHEN YOU WIRE YOUR DEPOSIT OR DOWNPAYMENT FUNDS TO ESCROW, BE SURE TO VERIFY THE WIRE INSTRUCTIONS AND ROUTING INFORMATION WITH YOUR AGENT AND ESCROW DIRECTLY.

I can not emphasize this enough. If you receive an email with wiring instructions, call and personally talk to your agent to verify the information is correct and legitimate.

Sadly enough, there is an online email scam that seems to be getting more prevalent. Criminals will hack into a real estate agent's email and just sit back, read the emails, and monitor activity and the progress of transactions...then, when it comes time for a transaction to close, the hacker will use the agent's email and send wiring instructions to the client -- impersonating the agent. The wiring instructions lead to offshore bank accounts, not to escrow. One funds are wired to an offshore bank account, they can not be recovered.

Again, this is not some rumor. I know real people this has happened to. I know an agent whose client wired over $100,000 to Nigeria -- lost and gone forever. Don't let this happen to you! I have recommended to my buyers NOT to wire funds at all, and obtain cashiers checks and deliver them to escrow directly. The California Association of Realtors has a new advisory/disclosure document that addresses this as well. Just be careful.