Deepfakes are a serious threat to our industry; but AI can help us fight back.
In my last blog article, I discussed how deepfake fraud is a growing threat in the real estate industry and what you can do to combat it in your workplace. This time, I thought it would be helpful to take a deeper dive into some of the latest AI tools on the market that may be able to assist in these efforts. Of course, careful consideration is warranted before implementing any new solution, and it’s important to consult with your IT and security team to ensure it aligns with your business needs and data security standards. With that said, let’s dig in!
What is deepfake fraud?
Deepfake fraud has exploded in recent years, with some reporting showing an increase of over 2,000%. Scammers are using AI-generated videos and voices to impersonate real people convincingly. To combat this technology, experts have developed cutting-edge tools and techniques to recognize and stop deepfakes.
What are people doing about it?
Here are some of the latest detection methods that your agency might consider to keep deepfake fraudsters at bay. Here’s how they work.
AI-powered detection tools are designed to analyze videos and images in real time to detect whether they have been manipulated. Just a couple promising tools include:
HONOR’s AI Deepfake Detection – Launching April 2025 HONOR’s deepfake solution can be thought of as a built-in lie detector for images and videos. The technology scans media in real time and alerts users if something seems fake. This could help businesses and individuals avoid being misled by AI-generated content.[i]
Reality Defender – Real-time Deepfake Detection for Video Calls In a world of constant video meetings, it has unfortunately become possible for someone to get on a call with you and pretend to be your boss or a family member by using deepfake technology. Reality Defender combats this type of fraud by scanning facial movements, voice patterns and subtle glitches in real time. If anything is flagged, the technology alerts the user so they don’t become victims of scams.[ii]
Lightweight AI models are another tool people are deploying to deal with the rise of deepfakes and other fraudulent activity. These AI detection tools offer unique advantages to users. For one thing, they require far less computing power than other models, but they are still capable of effectively detecting deepfakes. Let’s look at a specific example:
Tiny-LaDeDa – A mini AI model with 96% accuracy Unlike traditional AI models that suck up an inordinate amount of power, Tiny-LaDeDa can sniff out deepfakes even while running on smaller devices. Despite being lightweight, it still claims to detect 96% of deepfake videos out there by analyzing tiny details in the way faces and voices are generated.[iii]
Comprehensive benchmarking frameworks
Given that deepfake technology is always evolving, cybersecurity researchers are not resting on their laurels. The industry has been developing standardized testing platforms to improve detection tools and ensure that security solutions can keep up with even the most creative of fraudsters. Let’s take a peek at some of the most notable:
DF40 – A giant deepfake training library The DF40 library can be thought of like a gym for deepfake detectors. It contains thousands of deepfake samples created using 40 different AI techniques. Researchers can train and test tools against a wide variety of fake content, which enables them to get far better at spotting new ones as they come online.[iv]
DeepfakeBench – A fair testing ground As with many cybersecurity tools, not all deepfake detectors are created equal. Additionally, some detectors are good at spotting one type of fraud but perform poorly when dealing with another. DeepfakeBench seeks to remedy this by ensuring that every detection tool is tested under the same conditions. It is an important solution for those who want to compare different products and assess which ones are the most effective.[v]
Smarter deepfake detection techniques
Sometimes, deepfake detectors can cause more problems than they solve. For example, certain tools may focus too much on “fake-looking” elements instead of checking if a person’s identity is real by cross-referencing IDs against verified data or analyzing biometric consistency. Luckily, there are many researchers currently working hard to fix this problem:
Rebalanced Deepfake Detection Protocol (RDDP) RDDP improves deepfake detection by making sure tools don’t just look for obvious digital artifacts like weird lighting or blurry patches. This prevents hackers from bypassing detection by using better-quality deepfakes.[vi]
Government and military efforts
Governments are also stepping into the fight against deepfake fraud, especially because deepfakes can pose a considerable risk to national security and election integrity.
Defense Advanced Research Projects Agency (DARPA) DARPA is an agency within Defense Department that focuses on investigating emerging technologies. As part of that effort, it is investing in AI tools that go beyond simple detection and combat deepfakes on a forensic level. The agency sees this work as a critical piece of the puzzle in dealing with everything from misinformation and identity fraud to protecting against AI-generated impersonations.[vii]
Tools for real estate transactions
While deepfake technology is advancing, so too are the tools designed to prevent all types of fraud in real estate transactions.
SecureMyTransaction® from Alliant National SecureMyTransaction (SMT) leverages AI-driven facial recognition to verify identities by comparing ID photos with selfie images, helping ensure that parties involved in a transaction are legitimate. In addition, SMT helps verify bank accounts and business entities to add multiple layers of security. By integrating these advanced fraud prevention tools into the title and escrow workflow, SMT provides an important safeguard against deepfakes and other fraud tactics. Learn more atsecuremytransaction.com.
Final thoughts
Scammers are increasingly using AI-powered deepfakes to target real estate transaction stakeholders—which makes them a major threat to our industry. But thankfully, new detection technologies are pushing back on these ambitious criminals. For title agencies, it is imperative to understand how these solutions work and how they may enhance your cybersecurity posture. The threat landscape is always evolving, but by staying apprised of the most cutting-edge solutions out there, you can fight fraud and keep your agency moving forward.
From Sci-Fi to Real Life: The Evolution of Deepfake Technology
Once upon a time, the idea of digitally swapping faces or creating hyper-realistic videos of people saying things they never actually said was confined to Hollywood blockbusters. Think of movies where actors were digitally de-aged or deceased celebrities made surprising cameos. However, in 2017, a new term hit the internet: “deepfake.” It was a blend of “deep learning” and “fake,” originally coined when a Reddit user used AI to swap celebrities’ faces in videos.
Since then, deepfake technology has evolved at warp speed. While some use it for harmless fun—like making historical figures “sing” pop songs—others have taken a more sinister route. Today, deepfakes are used in political disinformation, identity fraud, and cybercrime, including the more recent entrée into the fraudulent diversion of funds and properties in real estate transactions.
The Rise of Deepfake Fraud in Real Estate
Deepfake fraud has been making headlines in unexpected ways, and real estate is one of the latest industries to be hit. In the past two years, fraudsters have harnessed AI-powered deepfake technology to pose as property owners, financial executives, and even notary publics.
Take, for example, a case from 2023 where a scammer used a deepfake voice to impersonate a real estate attorney in a communication with a client. The unsuspecting buyer was convinced that he was talking to his legitimate attorney and wired a six-figure down payment—straight into the scammer’s account.
Another shocking case involved a fraudster using a deepfake video to pose as a property owner looking to sell a luxury home. The scammer managed to fool not only the buyer, but also the title company, leading to the fraudulent sale of a multimillion-dollar estate.
Of course, there was also the fraudulent attempt to force a foreclosure sale of Graceland, Elvis Presley’s home, which made headlines in 2024.
How to Combat Deepfake Fraud in Real Estate
With deepfake technology becoming more advanced, spotting fakes is harder than ever. But that doesn’t mean we’re powerless. Here are some strategies to avoid falling victim:
Double-Verify Identities Don’t rely solely on phone calls, video calls, or emails. Always confirm identities through multiple channels—such as in-person meetings, official documentation, and voice confirmation through previously established phone numbers.
Use Multi-Factor Authentication (MFA) When transferring funds or signing critical documents, consider requiring MFA. This adds an extra layer of security beyond just visual or voice verification.
Scrutinize Video Calls and Emails If something feels off—like unnatural blinking, delayed audio sync, or robotic speech patterns—be skeptical. Deepfake videos often have subtle imperfections that can give them away.
Conduct Due Diligence If a new client or seller suddenly appears with urgent demands, do your due diligence. Check property records, verify business affiliations, and ensure everything aligns with known facts.
Leverage AI Detection Tools Just as AI is being used to create deepfakes, it’s also being used to detect them. Some AI-driven tools analyze facial movements, voice anomalies, and inconsistencies in digital assets to help identify fraudulent activity. In the real estate sphere, SecureMyTransaction®, developed by Alliant National, applies AI facial-recognition technology to verify identity documents such as driver’s licenses and passports.
The Bottom Line
Deepfake technology is no longer a futuristic concern—it’s here, and it’s changing the way fraudsters operate. By staying vigilant and implementing multi-layered verification methods, you can ensure that your next property transaction doesn’t turn into a deepfake disaster.
See Alliant National’s most recent Title Tip, which was inspired by a real-life attempt to commit wire fraud using deepfake technology.
Like many people, I often find myself in a reflective mood at the start of the new year. The days are getting longer, and the prospect of renewal is in the air. One area that I naturally like to focus on during this period is cybersecurity. As someone who has been in this field for a long time, I know that achieving success and keeping fraudsters at bay requires constant vigilance, as well as a dedication to continual improvement of your cybersecurity strategy. Let’s discuss some resolutions you can make for the new year. Hopefully, you’ll find them helpful for strengthening your own security posture in the months ahead.
Resolution #1: Protect your emails
Reacclimating to work after the holidays can make reviewing your cybersecurity posture feel even more overwhelming. Focusing on specific cybersecurity vulnerabilities, however, can make the project much more manageable. Of all the ways that criminals can attack your agency, email is one of the most common. Phishing and business email compromise are two particularly insidious schemes that have long threatened the title insurance industry. A good starting resolution for 2025 is to ensure your organization’s email communications are secured.
Resolution #2: Don’t wait to deploy multi-factor authentication
In one of my most recent blogs, I wrote about the importance of multi-factor authentication (MFA) and how these technologies are becoming ever easier to manage and deploy. Modern MFA technologies offer invaluable benefits for title agencies, enhancing digital security without compromising productivity. This blog provides helpful insights into how MFA can support your agency’s operations while keeping threats at bay. At Alliant National, we have embraced MFA technology across our operations, and other industry professionals may find it worthwhile to integrate it into their security suite as a valuable enhancement.
Resolution #3: Implement Zero Trust architecture
U.S. President Ronald Reagan once famously said, “Trust, but verify.” While this was perhaps good advice for Cold War relations, when it comes to digital security, you must never trust and always verify. One of the best ways to do this is with Zero Trust architecture. Zero Trust protects sensitive client information by making sure access is restricted only to those who truly need it. On top of that, Zero Trust is essential for compliance, which is a big benefit for a heavily regulated industry like title insurance. It is for these reasons that Zero Trust architecture is an important resolution for any title agency to adopt in 2025.
Resolution #4: Automate your backups
Sometimes, despite our best efforts, a catastrophic cyber event will still occur. When that happens, you want to be sure that your most important files, data and systems can be recovered and restored as fast as possible. Establishing reliable and effective backup procedures ensures your organization can bounce back quickly. They minimize downtime, prevent data loss and maintain customer trust. Leveraging a multi-tiered backup strategy that combines on-premise servers and secure cloud environments is the best way to make sure your bases are covered. With this approach, you can turn a potential disaster into a manageable situation, making automated backups a valuable addition to your resolution list.
Resolution #5: Consider your contingencies
Given the risks, it is never a bad idea to invest in additional protections for your agency and clients. One of the best ways to do this is by considering a fraud prevention tool like Alliant National’s own SecureMyTransaction, which vets transaction stakeholder ID documents with cutting-edge AI technology. Another strategy would involve obtaining cyber insurance to protect yourself from breaches and advanced cyberattacks like ransomware. Each provides critical safeguards for your agency’s operations, allowing you to focus on ensuring transactions go off without a hitch.
Make your resolutions count in 2025
They say the best laid plans of mice and men often go awry, and despite our best efforts, the promises we make at the beginning of the year can quickly fall by the wayside. Thankfully, resolutions are a bit easier to stick to if they involve cybersecurity, as the consequences of not doing so can be severe. I hope these resolutions can provide you with some good guidance for setting cybersecurity priorities for your own organization. When your security strategy is well-organized, you can operate more effectively on behalf of your clients and strengthen your market position in the process.
The buzz is in the air with more questions than answers.
FinCEN published its Final Anti-Money Laundering Regulations for Residential Real Estate Transfers on August 28, 2024 (“Final Rule”), throwing the entire real estate industry into a state of high anxiety. What does it all mean? How do we meet its requirements? Will the expense of compliance be a financial drain — or even put us out of business? Title agents — who most often also fill the role of settlement or closing agents and would be the first elected reporter under the Final Rule — have been asking themselves these questions. While law firms and industry associations, as well as news outlets, have discussed the black letter text requirements set out in the 120-page Final Rule, no one knows exactly how this is going to play out. Of course, our biggest fear is always the great and looming unknown.
So, what can we say and do to allay those fears? First of all, the Final Rule does not become effective until December 1, 2025. This gives the industry time to become prepared and adapt to the new requirements. Secondly, ALTA has stated in its Industry News publication of August 29, 2024, that it “will develop and provide several education and training opportunities to prepare the industry for the rule’s requirements.”
Moving forward to operationalize the Final Rule, FinCEN released the unpublished version of its draft Real Estate Report on November 12, 2024 with the formal published version to follow; thereafter the collection form is open for a 60 day comment period. Additionally, FinCEN agreed to provide FAQs as it goes through implementation. If saying “help will be on the way” doesn’t quite do it for you, then think about the things that you can do now — including strategic planning — to take control, empower, educate and prepare yourself.
What kind of strategic planning are we talking about? Here are a few ideas:
Consider setting up a workflow to help you identify reportable transactions and direct the information, documents and forms to the appropriate personnel for processing the required report; including providing a secure intake portal to accept and store documents and forms containing non-public personal information
This would include identifying any order regarding a purchase of residential real property by an entity or trust/trustee for cash (without a traditional lender that has a required AML program and who must file SARS) as the term “residential real property” is defined:
1-4 family occupancy residential units (e.g. a stand-alone, such as a single-family residence or townhouse; or even a unit within a multi-unit complex, such as a condo or shares in a coop; or even a residential unit in a mixed use building; as well as entire buildings designed for occupancy by one to four families)
Vacant land upon which the purchasing entity or trust/trustee intends to build a structure that is designed principally for occupancy by 1-4 families building such a residential real property
So, if you have an internal IT team or outsource your IT needs with a particular vendor, having a conversation with them now about how they can help you accomplish the work discussed above would not be premature.
Consider the Final Report’s required information, identifying what you already have and what you need to obtain from other sources – i.e. from the bank, from the purchaser’s representative, the seller or seller’s representative, and from the signer for the purchaser.
The Final Rule requires bank account information for the bank from which the source of funds originated. A title agent does not typically get that information on the wire confirmation or receipt that it receives from its own bank when an incoming wire or certified check is received or deposited. However, you can talk to your bank manager and inquire if the bank would be willing to provide you with that additional information on the documentation that it sends to you.
While the Final Rule only requires retention of the Purchaser’s Certification of Beneficial Ownership Information (and of any Designation Agreement that you may enter into), it is still both important and smart to retain all of the data in writing that is provided to you by others. If a question regarding your compliance should ever arise, then you would have documented evidence to show what you relied upon. This would apply to even an analysis of whether or not you have a reportable transaction under the Final Rule. For example, if the transaction is a purchase of vacant land, you may want to have the buyer’s representative state its future intent for the land in writing (because if it doesn’t intend to build a structure that is designed principally for occupancy by 1-4 families, then you don’t have a reportable transaction under the Final Rule).
Consider the cost of compliance with the Final Rule and how you can make your process be the most efficient and effective in terms of the expense — and perhaps even recoup some of the expense depending upon what your state law and regulator allow.
The biggest cost driver is going to be the administrative personnel’s time for those who will be working on collecting the data and reporting it. Here are some tips that may help:
Have two well-trained staff members whose education, experience, workload and market rate are appropriate for the time and tasks required to comply with the Final Rule. In case one staff member is unavailable to do the reporting, you will have ready coverage by having a backup person. Remember that there is a due date for compliance – which is the later of either:
(i) the final day of the month following the month in which the date of closing occurred; or
(ii) 30 calendar days after the date of closing.
In other words, if November 1st is the closing date, then December 31st would be the last day for submitting a timely report to FinCEN.
If you have very few transactions that would be subject to reporting under the Final Rule, perhaps it does not make sense for you to have your own staff members trained to take on the task. In that event, you may want to investigate your options for designating another reporter as identified in the Final Rule. In this event, you would want to do your due diligence and vetting in advance of December 1, 2025. Be aware that if you see a vendor advertising to provide this service, unless it is identified as an optional designated reporter within the Final Rule, it cannot relieve you of your reporting responsibilities.
This can’t be stressed enough: collect the data from the respective parties or people before the closing date. Our experience with FinCEN’s Geographic Targeting Orders has shown that if you wait until after closing, then you will be wasting a lot of time (and money) chasing after the needed information.
If you have repeat entity or trust customers who typically purchase residential real estate for cash, educate them in advance of the effective date of the Final Rule regarding what to expect. This may help your customers to have their information ready for data collection while at the same time building their trusted relationship with you. The Final Rule does not require confidentiality as to its contents.
Since the Final Rule does not discuss recoupment of cost, there is no federal prohibition against it. Your state laws and regulators will be the ones who ultimately determine what kind of recoupment, if any, is allowed for the expense you will incur to comply with the Final Rule. Start having conversations with your state land title association early, as they are your advocates and may be able to provide you with guidance from your state regulators.
Stay abreast of developments (e.g. any amendments to the Final Rule or FinCEN FAQs) by subscribing to FinCEN News Updates (sent to you via email or text messages). Also, keep an eye out for ALTA’s publications and resources as they become available.
From eager beavers to phantom fraudsters, here are the tricks you need to watch out for.
The world of title insurance is full of highs and lows. On the positive side, title agents often get to help aspiring buyers achieve their dream of home ownership. On the other hand, doing this work, and doing it well, means having to stay vigilant for a wide variety of cyberthreats. Seller impersonation fraud is one such danger. A rising industry threat, seller impersonation fraudsters use various tactics to deceive buyers, sellers and industry professionals alike. From “eager beavers” to “phantom fakers,” here are the top five seller impersonator personas you need to know.
I. The “Eager Beaver”
The first seller impersonation persona is the “Eager Beaver.” These fraudsters thrive on creating a false sense of urgency, pushing transaction participants to rush through the process. When deploying this tactic, a fraudster will offer a variety of reasons why the property sale must be completed as quickly as possible, including:
Financial necessity
Upcoming travel or relocation
Legal concerns or necessities
Health problems that could imperil the transaction
Alternative offers
We find that many fraudsters use this approach for one simple reason: it is often effective. Property sales can be intimidating and overwhelming to many people. Applying pressure can cause stakeholders to bypass organizational processes and procedures, which are in place for a reason, and lead to costly mistakes down the line.
II. The “Meticulous Mimic”
“Meticulous Mimics” rely on ID forgeries to pass themselves off as property owners to carry out fraudulent transactions. Of course, these criminals aren’t using the type of fake IDs you would find tucked into the wallet of your average high schooler. In fact, they are usually equipped with nearly flawless replicas of IDs, deeds and other sensitive documents. These fraudsters often put on airs of being overly prepared and highly detail oriented. Meticulous Mimics are a formidable threat because they excel at lulling other stakeholders into a false sense of security.
III. The “Sneaky Sparrow”
In the animal kingdom, there are many species that target the vacant homes of other animals for their own gain. Sparrows are one example. Sparrows are infamous for invading other birds’ nests.Unfortunately, real estate and title agents have their own “Sneaky Sparrows” to deal with. These are seller impersonators who target unoccupied homes.They fabricate a claim of ownership and then sell the property before the real owner even realizes what’s happened.
IV. The “Detail Devil”
Next up are the “Detail Devils,” seller impersonators who are experts at targeting properties that have complex ownership histories and dense details. These bad actors know how to navigate tangled webs of property information and exploit the confusion these transactions can understandably cause. Whether it be by manipulating legal frameworks or financial records, these fraudsters excel at turning convoluted property documents into illegal paydays.
V. The “Phantom Faker”
Finally,you can’t discount “Phantom Fakers,” fraudsters who attempt to pass themselves off as deceased property owners. They often use a combination of forged documents to fabricate a claim of ownership on a given property. Their schemes benefit greatly from the real owner no longer being capable of defending or disputing their behavior, which makes it easier to fraudulently sell or transfer a targeted property.
Stay safe with Alliant National and SecureMyTransaction
Knowing the most common seller impersonators can give you a leg up on potential fraudsters, but leveraging the right technology is key to truly securing your transactions. Alliant National’s SecureMyTransaction is one such solution, offering advanced tools to guard against today’s threats, including seller impersonation fraud. This new security solution also provides detailed audit trails, helping title professionals simplify compliance and protect their clients with greater confidence. Learn more about SecureMyTransaction here.
