Vacant listings can attract more than potential buyers. Across the country, scammers are using active real estate listings to impersonate property owners and trick contractors into sending them money.

While the immediate victims are often landscapers, painters, cleaners, and other vendors, these scams can also create confusion for REALTORS®, property owners, and prospective buyers. Knowing how the scheme works can help you protect your clients, your listings, and the professionals you work with.

How the Scam Works

The scam typically follows a predictable pattern:

1. A scammer finds an active listing, often one that is vacant.
2. They contact a contractor and claim to be the property owner who needs work completed.
3. The scammer sends payment for more than the agreed amount.
4. They ask the contractor to forward the extra money to another person, subcontractor, or "worker."
5. Days later, the original payment is reversed because it was fraudulent, leaving the contractor responsible for the money they already sent.

The listing was never the target. It was simply used to make the scam appear legitimate.

Warning Signs

Watch for these common red flags:

• Someone claims to own the property but says they are out of town or unavailable to meet.
• They reference a legitimate active listing to build credibility.
• Contractors are contacted directly without the listing broker or property owner being involved.
• The person offers to pay significantly more than the quoted amount.
• They ask the contractor to send the "extra" money to someone else.
• They create urgency and pressure the contractor to act quickly.

Any request to move money on someone else's behalf should immediately raise concerns.

How REALTORS® Can Help Prevent It

Although the contractor is often the intended victim, REALTORS® are in a unique position to recognize suspicious activity.

If you notice vendors arriving at one of your listings without your knowledge, verify who authorized the work before allowing it to continue.

Consider taking these additional precautions:

• Let sellers know this type of scam exists, especially if the property will be vacant.
• Ask clients to notify you before scheduling vendors whenever possible.
• If contractors contact you about work at one of your listings, confirm the owner actually hired them.
• Encourage vendors to independently verify who they are working for before beginning any job.

Advice for Contractors

If you work with local vendors, remind them of one simple rule:

Never send money to a third party because someone overpaid you.

No legitimate customer needs a contractor to redistribute funds on their behalf. If payment exceeds the agreed amount, stop the transaction and verify the request through trusted contact information before doing anything else.

Protecting Your Listings Protects Everyone

Real estate listings contain valuable information that criminals can exploit to appear trustworthy. Staying alert and maintaining clear communication with sellers and vendors can prevent confusion before it becomes costly.

If a contractor contacts you with questions about work at one of your listings, take a few moments to verify the details. That simple conversation could prevent thousands of dollars in losses and protect everyone involved.

Bottom line: If someone overpays a contractor and asks them to send the extra money to someone else, it is almost certainly a scam. Awareness and verification remain the best defense.