New Florida Disclosure
Buyers Need to Protect Themselves
A new Florida Real Estate Disclosure was just released. This time it does not have anything to do with the exact home you are buying. Instead, it has to do with process of how you pay for a home.
In a rare circumstance, the buyer may actually get money back at closing. However, most home buyers have to pay a certain amount for their down payment and closing costs to close on their new home.
Most title companies require home buyers to wire this money directly to their office instead of paying by a cashiers check. This is because cashier checks have become fraudulent and a title company has to take more time to verify the funds are legitimate.
Criminals have found a way to into the world of wiring money. Now there is a new Florida Wire Fraud Disclosure for home buyers.
So what is the fuss?
About a 1.5 years ago is when I first learned about this issue in a Title Insurance class. Criminals hack into real estate or title company emails and watch the communications of the home buying process.
Then, the criminals will set up a similar email that looks like it came from your real estate agent or title company. When the time is right and the home buyer is about to close, the criminal will email wiring instructions directly to the home buyer to wire their final closing money. Unfortunately, the buyers unkowningly wires that money into the bank account of the criminal and not to the title company. I still continue to read about real estate transactions being compromised, and now there is a new Florida Wire Fraud Disclosure for home buyers.
Florida Wire Fraud Disclosure could Save you thousands $$$$$
This new disclosure is actually called “Wire Fraud Prevention Notice” and was just published in November 2016.
Tips for Home Buyers in a Transaction
Request wiring instructions directly from the title company, rather than your real estate agent. Some title companies have moved to portal to login into their system to get wiring instructions. Others have started using encrypted email. Always check with the title company for legitimate wiring instructions.
Other Florida Home Disclosure
Florida home buying disclosures are tools to inform buyers of what type of home they are buying and potential issues. Below is an explanation about other Florida Disclosures that home buyers may encounter.
Buyers Broker of Florida are experts in keeping buyers protected in their home purchase. If you are in the market for a home call to learn about your best home options in Central Florida 407-539-1053.