DON’T BE A VICTIM! 

REAL ESTATE FRAUD HAS HIT HOME HERE IN COASTAL DELAWARE

Land selling fraud has become a growing concern in recent years, with more and more cases being reported worldwide—and now it’s hitting home in Sussex County. In just the past six months, our agents here at the Lee Ann Wilkinson Group have encountered FIVE attempts to ‘land scam’ a potential buyer and misrepresent ownership of a property.  From the highly desirable communities of Hawkseye & Wolfe Point and down to a waterfront lot in Fenwick Island—scammers are hitting OUR home and we all need to stay informed.  In fact, an agent from my own team was actually the potential buyer in one of these scams!

These perpetrators often forge signatures, create fake documents, or manipulate existing records to transfer property ownership. This can occur through various means, such as hacking into online databases, or exploiting loopholes in the registration process. The rise of online platforms for buying and selling land has also provided fraudsters with new opportunities. Scammers can create fake listings, complete with enticing descriptions and manipulated images, to lure unsuspecting buyers. They may even go as far as setting up fake websites or social media accounts to appear more legitimate. The consequences of falling victim to land selling fraud can be devastating. 

Once the fraudulent transfer is complete, the fraudster will attempt to sell the piece of land to (often to multiple) buyers, leaving the true owners without their rightful asset. AND if these properties go all the way to settlement, these innocent buyers and owners are facing an arduous legal process for resolution. In talking to Bill Schab, my real estate and closing attorney for 30 years, I was shocked to find out that if these fraudulent transactions do actually get to closing, they may not be able to be resolved even if the buyer gets title insurance. Unfortunately, with the purchase of land, it is not possible to purchase enhanced title insurance, so the buyer would not be covered or be refunded the money paid for the property. I’m happy to expound on this, so if you’re interested please call me.

These include the use of advanced technologies like blockchain to create tamper-proof property records, stricter verification processes, and public awareness campaigns to educate individuals about the risks and preventive measures.

If you suspect fraudulent activity, please contact the Delaware Attorney General’s Consumer Fraud Department or click HERE to sign up.

By staying informed, taking preventive measures, and working together with a trusted, and experienced real estate agent, we can combat these fraudulent practices together and protect the integrity of property ownership and the real estate market.

The statistics referenced here and in the attached newsletter are based on detached single-family home sales over the last 12 months compared to the previous 12-month period.  They are derived from the Bright Multiple Listing Service.

31850 Shell Landing Way | Bayfront at Rehoboth | MLS: DESU2040768 | $978,500

COASTAL LIVING! Masterfully crafted & impeccably appointed, this Bayfront at Rehoboth home delivers distinctive privacy in an enclave of the community that offers a private beach and open water vistas! This like-new, Cassidy Model by Schell Brothers boasts numerous upgrades! Features beautiful and spacious open floor plan accentuated with engineered hardwood flooring throughout main living areas, gourmet kitchen with stainless steel appliances, sparkling quartz countertops, walk-in pantry, & breakfast bar, living room with inviting stone fireplace framed by built-in bookshelves, and plenty of windows for natural light. More highlights and extras: luxurious owner's suite with huge walk-in closets, and en suite private bath; 3 additional bedrooms, bright screened porch, private study & office, and much more. The large back deck with gas grill hookup makes outdoor entertaining a breeze, with plenty of space to relax, along with a lush green lawn maintained by private well irrigation and detached shed to keep all of your outdoor equipment! Enjoy easy access to the community's private beach, nature trail, clubhouse with pool, and more; while being located only minutes from Coastal Highway, and Lewes & Rehoboth Beaches! Call Today!