Deed Fraud in Arizona: Lessons Every REALTOR® Should Know

By John Mijac, Managing Broker, 1912 Realty

Arizona real estate has a colorful history—sometimes inspiring, sometimes notorious. From 19th-century land swindles to modern wire fraud, scams have shaped the way our industry handles compliance, disclosure, and fiduciary duty.

As REALTORS®, brokers, and industry leaders, we must understand these lessons. They aren’t just stories from the past—they are warnings for how fraud can evolve and threaten both our clients and our livelihoods.

Arizona’s History of Real Estate Fraud

The “Baron of Arizona” (1880s): James Addison Reavis forged land grants, birth certificates, and royal decrees to claim millions of acres. His scheme collapsed after nearly two decades, but only after investors, businesses, and families lost fortunes.

The “Godfather of Land Fraud” (1960s–70s): Ned Warren Sr., connected to the New York mafia, manipulated licensing and financing to sell worthless parcels in Prescott Valley. His web of fraudulent companies cost investors hundreds of millions before his conviction.

Each case reminds us: fraud adapts to the systems we rely on. What worked in 1890 or 1970 looks different today, but the principle is the same—when greed overrides ethics, consumers pay the price, and trust in our profession erodes.

Six Modern Scams Every REALTOR® Must Be Aware of and Proactively Defend Against

1. Deed Fraud — Person imitates Owner of the Deed and tries to sell with an Agent(usually Land).
2. Escrow Wire Fraud — Fake emails and cloned websites redirect client funds.
3. Loan Flipping — Predatory refinancing traps vulnerable homeowners.
4. Foreclosure “Relief” — False promises that exploit financial distress.
5. Rental Scams — Fake listings trick renters into paying deposits.
6. Moving Scams — Inflated fees or hostage belongings after relocation.

Each of these schemes has surfaced in Arizona—and your clients may already have been targeted.

What REALTORS® Can Do

• Verify identity of Seller, do not agree to their closing agent, warn title/escrow officers for deeper research.
• Verify escrow instructions directly with known title/escrow officers (never by email alone).
• Proactively brief clients on fraud patterns before any funds move.
• Cross-check rental listings and ownership records when representing tenants.
• Stay current on ADRE Commissioner’s Standards and federal regulations like RESPA to defend your compliance posture.

Fraud doesn’t just harm clients—it can expose REALTORS® to legal liability and reputational damage.

The Bottom Line

Arizona’s history proves that fraud will always evolve. From the “Baron of Arizona” to today’s cyber schemes, our industry is only as strong as the professionals who uphold its standards.

As Managing Broker of 1912 Realty, my mission is to equip agents with the compliance tools, market knowledge, and ethical grounding they need to protect clients and thrive.