The best protection against real estate wire fraud is a phone call. Before your buyer sends a deposit or closing funds, they should call Cal West at (323) 300-6122, using a number they already know, and confirm the wiring instructions with a person. Any email that changes wiring instructions should be treated as fraud until it is verified by phone.
That five-minute call matters because wires are fast and hard to reverse. The FBI's 2025 Internet Crime Report, released in April 2026, counted 24,768 business email compromise complaints with more than $3 billion in reported losses. Business email compromise is the category that covers most schemes where a criminal impersonates someone in a transaction by email.
How does the scam work?
The pattern is consistent. A criminal gets into an email account somewhere in the chain (an agent, a buyer, a lender, sometimes a look-alike address that differs by one letter) and watches the conversation. When the buyer is about to send money, the criminal sends a polished email with "updated" wiring instructions. It may use the right logo, the right file number and the right closing date.
Red flags to watch for:
A last-minute change to the bank, account number or recipient name
Urgency: "send today or you will lose the house"
A request to keep the change private or to reply only by email
A phone number in the email that does not match the one you already have
Small differences in a sender's email address or domain
None of these red flags is required. A fraudulent email can look perfect, which is why the verification step does not depend on spotting anything.
What does verify by phone actually mean?
It means three things, and all three matter.
Use a number you already have, from the escrow opening documents, the Cal West website or a business card. Never use a number from the email with the wiring instructions.
Speak to a person and read the instructions back: bank name, routing number, account number and the name on the account.
Do it every time money moves, including the deposit and the final funds.
If you ever receive an email saying Cal West's wiring instructions have changed, stop and call (323) 300-6122 before sending anything.
What should a buyer do in the first hour if money went to the wrong account?
Time matters. The FBI's Internet Crime Complaint Center says "time is of the essence" when you discover a fraudulent transfer. Here is the order I give buyers and agents:
Call the bank that sent the wire immediately and ask it to request a recall of the funds. Say the words "wire fraud."
File a complaint at ic3.gov as soon as possible, with the banking details from the wire. The FBI asks victims to file regardless of the amount lost.
Call escrow so we can document what happened and coordinate with the parties.
Keep every email and confirmation. Do not delete the fraudulent message.
There is a reason to move fast. The same FBI report says its Recovery Asset Team handled 3,900 incidents in 2025 through the Financial Fraud Kill Chain and froze about $679 million, roughly 58% of the amount involved. Those results depend on reports arriving quickly enough for banks to act.
What can agents do this week?
Agents are often the first person a buyer hears from after acceptance, which makes the agent the best person to set expectations early.
Tell buyers on day one to treat any emailed change to wiring instructions as fraud until it is verified by phone.
Put the escrow company's main number in the buyer's phone yourself, from a source you trust.
Add a one-line wire warning to your email signature.
Use multi-factor sign-in on your own email account. A compromised agent inbox gives criminals the whole timeline.
Never forward wiring instructions. Let escrow deliver them directly.
Clients who want to know who holds their money can read licensed vs. exempt escrow.
Our free Wire Fraud Protection Kit has the red flags, a call-to-verify script and the first-hour steps if money goes to the wrong account. Download the PDF there and keep it in your files.
Questions agents ask
Is a phone number in an email signature safe to call?
Not for verifying wire instructions. Criminals can change a signature as easily as the instructions. Use a number from a source you already trusted before the email arrived.
Can a buyer get money back after a fraudulent wire?
Sometimes, but there is no guarantee. Recovery depends on how quickly the sending bank requests a recall and whether the funds are still in the receiving account, which is why the first call goes to the bank.
Does a cashier's check avoid the risk?
Escrow and lenders often require wired funds for closing, and every payment method has its own rules. Ask escrow early which method your file needs, and verify the instructions by phone either way.
Opening an escrow? Send Iris the fully executed contract at iris@calwestescrow.com or call (323) 300-6122.
