Happy Spring! As the days grow longer and the weather warms, the real estate market begins to stir with renewed energy. Traditionally, spring brings increased activity—more homes hitting the market, more buyers stepping back into their search, and a general sense of momentum after the slower winter months. While this seasonal shift creates exciting opportunities, it also opens the door for bad actors looking to take advantage of consumers—particularly older adults—through real estate and mortgage fraud schemes.
The California Department of Real Estate is urging consumers to stay alert. Scammers often prey on trust, urgency, and lack of familiarity with complex transactions. Protecting yourself starts with awareness and a willingness to pause, question, and verify before making any financial or legal decisions.
First and foremost, approach all unsolicited contact with caution. Whether it’s a phone call, email, or message online, be wary of anyone you don’t know reaching out with offers or urgent requests related to real estate. Scammers are skilled at appearing professional and credible, but appearances can be deceiving. Always take the time to independently verify who you’re dealing with.
Working with licensed professionals is one of the most effective ways to protect yourself. Whether you’re renting, buying, refinancing, or seeking foreclosure assistance, confirm that the individual or company is properly licensed through official state websites. This simple step can prevent significant financial loss and legal complications.
Financial safety is equally critical. Never pay for real estate services in cash or wire money to someone without full verification. These forms of payment are nearly impossible to trace or recover. Additionally, safeguard your personal information—such as your Social Security number and financial details—to prevent identity theft.
Be especially cautious of anyone asking for upfront fees. In California, it is illegal for companies to collect payment in advance for loan modifications or foreclosure relief services. If someone demands payment before delivering results, it’s a major red flag.
Never sign documents you don’t fully understand or haven’t thoroughly reviewed. Real estate agreements are legally binding and can have long-term consequences. Avoid signing anything with blank spaces or unclear terms, and don’t hesitate to seek clarification or professional advice before proceeding.
It’s also essential to stay within your financial comfort zone. Do not allow anyone to pressure you into a loan or agreement that exceeds your means. High-pressure tactics are a common tool used by scammers to push people into risky decisions.
One of the most dangerous schemes involves transferring ownership of your property. No legitimate service will require you to sign over your home or grant power of attorney to someone you don’t deeply trust. These tactics are often used to strip homeowners of their equity and control.
In addition to these preventative steps, regularly monitor your property records just as you would your credit. Fraudsters can forge documents and record false claims against your property without your knowledge. Early detection is key to minimizing damage.
Currently, several types of real estate fraud are on the rise. Foreclosure rescue scams promise relief but often result in homeowners losing both money and their property. Rental scams—both through fake listings and unlicensed services—leave victims without housing or recourse. Timeshare resale schemes, reverse mortgage scams, and fraudulent investment opportunities target those looking to maximize or protect their assets. There are also growing concerns around deed fraud, unlicensed property managers, and vacant land scams, where individuals impersonate property owners to illegally sell land.
If you suspect fraud or believe you’ve been a victim, take action immediately. Reporting concerns to the Department of Real Estate helps protect not only yourself but also others in the community. Staying informed, cautious, and proactive is the best defense against these evolving threats—and ensures that your real estate decisions remain safe, secure, and successful this spring season.
The facts of this article are based on websites, including www.dre.ca.gov.
*All facts of this article were gathered from sources above and current as of end of March 2026 press time*
Leslie Stonick is a Compass real estate agent and leader of the Stonick Group. The Long Beach local lives in Alamitos Heights with her family and enjoys staying active in her community.
**Compass is a licensed real estate broker (01991628) in the State of California and abides by Equal Housing Opportunity laws. All material presented herein is intended for informational purposes only. Information is compiled from sources deemed reliable but is subject to errors, omissions, changes in price, condition, sale, or withdraw without notice. No statement is made as to the accuracy of any description. All measurements and square footages are approximate. Exact dimensions can be obtained by retaining the services of an architect or engineer. This is not intended to solicit property already listed.. All properties shown may not be Stonick Group listings or sales.**
