Texas State Attorney General Ken Paxton says the real estate industry is a prime target of cyber fraud, putting everyone from buyers to sellers to renters at risk.

Unscrupulous land-sellers, fraudulent mortgage-rescuers, buyers who present phony cashier's checks and fake landlords who rent out property they don't own are some of the most common online scammers, and the state attorney general's office is warning consumers and industry pros alike to be cautious. The "fake-landlord scam" is where crooks post fake online listings in an attempt to collect deposits from unsuspecting renters and then make excuses as to why they are unavailable to show the property.

"You can help avoid fake-landlord scams by being wary of odd payment requests," Paxton's office said in a release. "Scammers will often ask for unusual payment methods such as wire transfers or ask you to pay outside of the listing website."

Paxton advises land-buyers to check with the local municipality to make sure the property has been subdivided and has access to water, wastewater and emergency services. he cautions consumers facing foreclosure to be wary of mortgage rescuers who ask for a fee before an agreement has been signed with the lender. 

Additionally, home-sellers are urged to call to verify the authenticity of cashier's checks written for amounts greater than needed before refunding the difference.

According to the FBI 2020 Internet Crime Report, as the COVID-19 pandemic caused many people to spend more time online, the FBI received 791,790 overall cybercrime complaints last year – an increase of more than 69% from 2019 – resulting in losses exceeding $4.1 billion. Texas was ranked third behind California and Florida, as there were 38,640 victims of cybercrime in 2020 in Texas alone, the FBI reports.

Paxton's office invites members of the public to file a complaint if they encounter real-estate fraud.