Avoiding Scams in International Property (2025): A Practical Buyer’s Guide
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9/23/2025
Avoiding Scams in International Property (2025): A Practical Buyer’s Guide
Cross-border buyers face extra risks: unfamiliar rules, distance, and multiple intermediaries. The good news: most scams are easy to spot if you follow a simple verification routine and keep payments traceable. This guide shows the red flags, how to verify, and how to set payments that leave a clear audit trail.
Core rule
Never release full funds until title, seller authority, and handover conditions are verified — and your contract, invoices, and wire narrative match word-for-word.
Scam patterns — one clear table
| Pattern | Red flags | How to verify | Safer action |
|---|---|---|---|
| Fake ownership / impostor seller | No recent title extract; excuses to avoid notary; pressure to “act today” | Pull land-register extract; match seller’s name to ID and deed | Deal only via notary/registrar; add ID checks to the contract |
| Payment diversion (email/IBAN swap) | New account details sent last-minute; “temporary” or third-party account | Verify IBAN via a second channel; cross-check with notary | Use escrow or confirm beneficiary in writing before transfer |
| Deposit traps | Large non-refundable deposit with vague conditions | Require a written schedule with triggers and refunds | Stage payments; keep a final tranche for deed/keys |
| Title with hidden liens | “Clean title” claim but no encumbrance certificate | Order encumbrance search and lien clearance plan | Make seller discharge liens before completion |
| Unlicensed brokers / straw “lawyers” | No license number; no office; generic email domains | Check regulator’s register; ask for engagement letter | Work with licensed advisors; sign written mandates |
| Off-plan without safeguards | No escrow; no bank/insurance guarantee; vague milestones | Ask for escrow and stage certificates | Pay only on milestones backed by documents |
| Rental yield promises | Guaranteed returns with no contracts or audited accounts | Request leases, audited figures, and by-law confirmation | Model yield with real expenses and vacancy |
Verification routine — 8 steps
1) Identity & authority: Match seller’s ID with the deed and registry. 2) Title: Pull a fresh extract + encumbrance check. 3) Property use: Verify zoning and short-term rental rules. 4) Condo/HOA: Read by-laws and fee schedule. 5) Taxes & utilities: Get seller clearance certificates. 6) Technical survey: Order an independent inspection. 7) Contract controls: Tie payments to documents you will receive. 8) Payment proof: Keep MT103 copies and align narratives with the contract.
Payment safety in one paragraph
Where available, use escrow or a notary/solicitor client account. If you pay direct, mirror escrow controls inside the contract (stages, document triggers, deadlines). Never wire to accounts not named in the contract. If you need sample wording and a staged schedule you can adapt, read about secure payment setup.
Documents to insist on
Title extract/deed reference; encumbrance certificate; seller’s ID + authority to sell; zoning/permit confirmations; condo/HOA by-laws; reservation/preliminary agreement; final contract/deed; completion statement; escrow agreement (if used); invoices; bank MT103 receipts.
Two expert notes
“Most scams collapse when you demand registry documents and match names — do that before any deposit.” — Mei, Legal Counsel
“Payment diversion is the #1 risk in cross-border deals — verify beneficiary details via a second channel every time.” — Aiko, Compliance Lead
Common mistakes (and quick fixes)
Sending funds to a “temporary” account → never do this; confirm beneficiary with the notary.
Non-refundable deposits with vague terms → define refund triggers in writing or use escrow.
No lien check → liens follow the property; require seller discharge before completion.
No MT103 evidence → request and archive for every transfer.
FAQ
Are scams common abroad? They are visible but avoidable with proper checks and safe payments.
Is escrow always available? No; if not, use a notary/solicitor client account or staged direct payments.
What proves my payment? Bank MT103 plus contract/invoice references and, where used, escrow releases.
Can I rely on the agent’s word? Only with documents — always verify through the registry and notary.
Next steps
If you want a ready-to-use due diligence and payment checklist tailored to your case, learn more about advisory support for buyers. For a broader view of services from search to completion, explore our services.
VelesClub Int. supports buyers with compliant payments, due diligence, and coordinated closings worldwide.
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