A NSW couple saved for years to buy their first home. Days before settlement, they received an email from what appeared to be their conveyancer with bank account details for their $65,000 deposit. The email looked right. The timing made sense. They transferred the money.

It was gone within hours. The email came from a criminal who had been monitoring their conveyancing correspondence, waiting for the perfect moment to strike. By the time anyone realised what happened, the funds had been moved offshore and couldn't be recovered.

This isn't a one-off horror story. The real estate sector has become a prime target for these scams because property transactions involve large sums, tight deadlines, and multiple parties exchanging emails about money.

How the Scam Actually Works

Criminals don't need to hack your conveyancer's systems directly. They often gain access through phishing emails sent to real estate agents, mortgage brokers, or even buyers themselves. Once inside any email account involved in the transaction, they can read every message.

They watch. They wait. They learn the names, the property address, the expected settlement date. Then, at precisely the right moment, they send an email that looks almost identical to your conveyancer's usual correspondence.

The email typically asks you to transfer your deposit or settlement funds to a bank account. The account belongs to the scammer, but you have no reason to suspect anything. You're expecting to make this payment. The email seems legitimate.

Red Flags That Saved Other Buyers

In the NSW case mentioned above, the tribunal noted several warning signs that appeared in the fraudulent emails:

  • The email domain was slightly different (ending in "cm-au.com" instead of ".com")
  • The font colour didn't match previous emails
  • Grammar and sentence structure were inconsistent
  • One email was signed by the wrong person
  • The scammer asked for information already provided
  • Standard cyber security warnings had been removed

Any single one of these might be easy to miss when you're stressed about settlement deadlines. Together, they painted a clear picture of fraud.

The One Phone Call That Protects Your Money

Here's the simple rule that would have prevented this loss: never transfer money based on emailed bank details alone.

Before sending any funds, call your conveyancer. Use a phone number you already have on file or one you've looked up independently. Don't use a number from the suspicious email itself.

A legitimate conveyancer will expect this call. Many now include warnings in every email stating something like: "Do not transfer any money to our bank account without telephoning our office to confirm account details."

If your conveyancer hasn't mentioned cyber security protocols, ask them directly. A quick conversation about their procedures could save your deposit.

What the NSW Tribunal Decided

The buyers who lost $65,000 tried to recover their money from their conveyancer, arguing the firm should have done more to prevent the fraud. The tribunal dismissed their claim.

The conveyancer had included cyber security warnings on emails. They had discussed fraud risks during their initial meeting. The fraudulent emails contained visible discrepancies. The tribunal found the conveyancer had acted with appropriate care.

This outcome isn't unusual. When buyers transfer funds without verifying bank details by phone, they often bear the loss themselves. The criminals are overseas and untraceable. The conveyancer followed proper protocols. The money is simply gone.

Protecting Yourself During Your Property Purchase

Start by establishing verification procedures with your conveyancer at your first meeting. Ask how they will communicate payment instructions and what security measures they use.

Check email addresses carefully every time. Scammers create domains that look almost identical to legitimate ones. The difference might be a single letter or a hyphen in an unexpected place.

Be suspicious of any change to bank details, especially close to settlement. Criminals know buyers are anxious and time-pressured. They exploit that urgency.

If something feels wrong, slow down. A genuine conveyancer will understand your caution. They would rather you delay a transfer by an hour to verify details than lose your entire deposit.

The Australian Cyber Security Centre recommends being wary of any communication requesting money or personal information, even when it appears to come from someone you trust.

If You Think You've Been Targeted

Contact your bank immediately. If you've already transferred funds, every minute counts. Banks can sometimes freeze transfers before they're processed, but this window closes fast.

Report the incident to your local police and to Scamwatch. Even if your money can't be recovered, your report helps authorities track these criminals and warn others.

Tell your conveyancer what happened. They need to know their client communications may have been compromised, and they can alert other parties to the transaction.

Questions to Ask Your Conveyancer

Before you sign up with any conveyancer or solicitor, consider asking:

  • What cyber security warnings do you include in your emails?
  • How will you communicate bank account details for settlement?
  • What verification process should I follow before transferring funds?
  • Will you ever change bank details during a transaction?

A conveyancer who takes security seriously will have clear answers to these questions. If they seem dismissive or haven't considered these risks, that's worth knowing before you engage them.

Buying your first home is stressful enough without worrying about criminals intercepting your emails. Taking a few precautions now, establishing verification procedures, checking email addresses carefully, and always phoning before transferring money, can protect the deposit you've worked so hard to save.

If you have questions about how we handle security during conveyancing or want to discuss your upcoming purchase, please call our office or submit an enquiry. We're happy to explain our procedures and help you understand what to expect during the settlement process.