Vacant and agricultural land scams and what Realtors® need to know

What Realtors® need to know

Over the last few months, Minnesota Realtors® has received reports of scammers impersonating “out-of-town" property owners. These schemes frequently target vacant or agricultural land, where fraudsters attempt to push through a quick sale.

Here’s how the scam typically works:

The scammer poses as a property owner and contacts a listing agent—most often by email.
They claim to live abroad or out of state and want to sell land they “own.”
The name they use matches the name on the property title, and in some cases, they even provide a fake ID that appears legitimate.

Generally, all communication takes place electronically. The listing contract is e-signed, an offer is accepted, and the transaction moves forward—all without the true owner’s knowledge.

The buyer believes they are purchasing property, but at closing the fraud is exposed, creating serious legal and financial consequences.

The National Association of Realtors® (NAR) has issued warnings about these scams in recent years.

Below is NAR’s guidance along with a Minnesota-specific update and resource link.

Red Flags: Common Scamming Tactics

If a potential client asks you, as a real estate professional, to sell a vacant parcel or unoccupied property—watch out for one or more of the following:

The potential client wants to list the property for significantly below market value.
The potential client has a strong preference or requirement for cash.
The potential client does not want a “For Sale” sign in the yard.
The potential client emphasizes an urgency to sell quickly.
The potential client never communicates in person or on video, preferring to text or email.
The potential client claims to be out of the state or country.
The potential client will only use a remote notary and requests a remote closing.

Recommend Practices: What to Do if You Encounter a Suspected Scam

Exercise due diligence to verify the purported seller is the actual property owner, for example:

Ask for multiple forms of identification.
Request to meet the seller face-to-face (Possibly using Facetime, Teams or Zoom if out of
state or country).
Ask for proof of ownership of the property.
Ask the potential client about the area around the vacant property to see if they are familiar with the area.

As for other safeguards, conduct independent research to confirm the property owner, such as looking online for a recent photo or speaking to a neighbor. (Facebook, Instagram, LinkedIn, and other platforms may offer valuable insights)

Verify the seller’s email and phone number.

Make sure you or the title company select the remote notary at closing.

Ask the seller for a voided check and a disbursement authorization form; use a wire verification service to confirm the account information and ownership.

If you suspect that you are involved in a vacant lot scam: